buy to let costs

[bubbles4920]

we have a buy to let house. i believe that there is a certain amount each year that we can be exempt from that covers maintenance on the property. does anyone know how much this is? also, should we keep all utility bills/bills from b and q etc from day one even if it goes back to 1998?

[Ethel]

This is a useful site for basic tax concerns:

http://www.whitingandpartners.co.uk/Content/Bu y_to_Let_Taxation.htm

No harm in keeping receipts - it helps to prove when work was done and so on.

Utility bills - 3 years should be plenty.

[Kathyan]

You will get relief on any repairs and 10% for general wear and tear. This is what we were allowed when we let our property, but it's two years ago now so thing may have changed.

[jedimistress]

If it's 10% Wear and Tear allowance then that is 10% of your rental income. (Not including council tax or water rates or any other utilties which you MAY have included within the rent to your tenant.) Else you can opt for replacements and renewals instead of the wear and tear allowance. Whatever you choose you need to stick with permanently. You can claim essential repairs and maintenance along with the 10% wera and tear as this is to cover things like carpets and furniture. If your house is unfurnighed you may not claim wear and tear.