Am considering letting the property I own and renting or buying elsewhere, and am considering the tax implications of this.
Obviously the tax payable on rental income has a big bearing on my decision.
One element that I was unsure about is the capital allowances.
Is this only on capital put in place for the purpose of renting? Alternatively, could I place a value of say €20k on fixtures and fittings already in the house and depreciate these to earn the capital allowance?
In general, how rigid is the revenue with regard to documentation on this sort of stuff? Do I simply declare the amount or would I need invoices to show the value of everything.
But as far as I’m aware there’s nothing wrong with taking all furniture from your existing property to your new one and then depreciating all the furniture you buy to replace it.
What happens if you buy furniture the tenant doesn’t want and you have to store it in your new home???