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Expenses associated with setting up rental property

Discussion in 'Accounting & Tax' started by Max, 26th Jun, 2016.

  1. Max

    Max New Member

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    I have very recently purchased an investment property to rent out for short-term holiday rentals. I am wondering whether I can claim costs for furniture and linen etc purchased this financial year, when i probably won't earn any rental income from it until next month (i.e. next financial year) because I'm still setting it up.

    Thanks in advance :)
     
  2. wylie

    wylie Moderator Staff Member

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    Is it currently advertised?
     
  3. Terry_w

    Terry_w Tax and Structuring Lawyer Business Member

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    Yes possibly.

    Furniture would have to be depreciated though depending on what it is.
     
  4. Max

    Max New Member

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    Thanks for the replies. It isn't currently advertised but I could do that.
     
  5. wylie

    wylie Moderator Staff Member

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    I'd make sure it is advertised in this financial year and then leave the rest to your accountant, who "should" know the answers.
     
  6. Terry_w

    Terry_w Tax and Structuring Lawyer Business Member

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    Doesn't necessarily need to be available for rent now as long as the intention is to hold it to rent - you might be doing it up for this purpose for example.
     
  7. Max

    Max New Member

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    Great- thank you :)