A Property is purchased as IP for at least one year with intention to become PPOR later.
If I repaint the property as a genuine maintenance situation towards the end of the first year lease, is the total cost tax deductable?
Also, the same situation with the carpet, it needs replacing. Is the replacing of the carpet a year after having the IP a tax deduction?
And also, the current building inspection (at time of purchase) states that the bathroom needs major repair work due to water damage and leaks, if these repairs are carried out and a new bathroom is required, are the costs claimable as a repair or do they constitute a capital expense?
And one last question, all of the above mentioned repairs will be carried out at the time of the property being an IP (and will be claimed) but it will become a PPOR shortly after - are there any tax implications in this?
Can any of our fellow forum members with a bit more tax experience than I, please assist me in these questions.
Thanks,
Wendy Bergsma
If I repaint the property as a genuine maintenance situation towards the end of the first year lease, is the total cost tax deductable?
Also, the same situation with the carpet, it needs replacing. Is the replacing of the carpet a year after having the IP a tax deduction?
And also, the current building inspection (at time of purchase) states that the bathroom needs major repair work due to water damage and leaks, if these repairs are carried out and a new bathroom is required, are the costs claimable as a repair or do they constitute a capital expense?
And one last question, all of the above mentioned repairs will be carried out at the time of the property being an IP (and will be claimed) but it will become a PPOR shortly after - are there any tax implications in this?
Can any of our fellow forum members with a bit more tax experience than I, please assist me in these questions.
Thanks,
Wendy Bergsma