TAURANGA RENTALS LTD
MREINZ
  • Home
  • Our team
  • Rentals
    • Tauranga Area
    • Papamoa/MT Maunganui
    • Rural
    • Tenant Application
    • Tenant Responsibilities
    • Tenant Login
  • Landlords
    • Healthy Homes
    • Landlord Login
  • Newsletter
    • Media
  • Contact

October 2018

October 13, 2018Tauranga Rentals

Claiming expenses

If you own a rental property you can claim a variety of expenses at tax return time. These must relate to the costs of generating rental income, and must not include costs for private use.

Expenses you can claim

Insurance and rates

You can claim the cost of insuring your rental property and the rates for the property.

Interest

You can claim the interest charged on money you’ve borrowed to buy your rental property. However, if you:

  • borrowed part of the money for another purpose, or
  • topped up the mortgage for another purpose, for example to consolidate debt or to buy the house you live in

you can only claim the interest that relates directly to the rental.

Fees and commission

You can claim fees or commission paid to agents who collect the rent, maintain your rental, or find tenants for you.

Fees paid to an accountant

You can claim the fees for:

  • your accounts to be managed
  • tax returns to be prepared, and advice

but not the costs involved in setting up your rental property.

Repair and maintenance costs

You can claim the costs for any repairs to the property or general maintenance. However, if you’re doing the work yourself you can only claim for materials – not your time.

If the work is more of an improvement than a repair then you can’t claim the cost as an expense.

The distinction between repairs and improvements can be tricky, especially if the property is a “leaky” property.

If you’re unsure whether work done on your property is repairs or maintenance we suggest you talk to a tax agent.

Motor vehicle expenses

You can claim for motor vehicle expenses, such as running costs for travelling to inspect your property or to do repairs. There are two options for claiming motor vehicle expenses – you can either use the IRD kilometre rates or claim a percentage of the total running costs and depreciation.

Contact Dan for more information on Expenses you can’t claim, Claiming deductions when renting out your house or part of your home or If you rent out your holiday home. Also GST, Depreciation and Other exceptions.

dan@taurangarentals.co.nz or phone 07 571 1025

Archive

  • October 2020 (1)
  • September 2020 (1)
  • August 2020 (1)
  • July 2020 (1)
  • June 2020 (1)
  • May 2020 (1)
  • March 2020 (1)
  • September 2019 (2)
  • August 2019 (1)
  • July 2019 (1)
  • June 2019 (1)
  • May 2019 (1)
  • April 2019 (1)
  • March 2019 (1)
  • February 2019 (1)
  • November 2018 (1)
  • October 2018 (1)
  • September 2018 (1)
  • August 2018 (1)
  • July 2018 (1)
  • May 2018 (1)
  • April 2018 (1)
  • March 2018 (1)
  • February 2018 (1)
  • October 2017 (1)
  • September 2017 (1)
  • August 2017 (1)
  • July 2017 (1)
  • June 2017 (1)
  • May 2017 (1)
  • April 2017 (1)
  • March 2017 (1)
  • February 2017 (1)
  • December 2016 (1)
  • November 2016 (1)
  • October 2016 (1)
  • September 2016 (1)
  • August 2016 (1)
  • July 2016 (1)
  • June 2016 (1)
  • May 2016 (4)
© 2016 Tauranga Rentals Ltd.