tax returns & mortgage interest payments

[goonersck01]

Hi there,

when preparing your tax returns, can the interest payments you have incurred during void periods be considered an expense which can be offset against rental income earned in the same tax year? i.e you pay mortgage interest for 8 months but only receive rental income for 6 months, can the 2 months of mortgage payments be offset against the rental income?

Any advice greatly received.

[JDO]

Yes, you can claim mortgage interest as an expense.

If you make a loss during the tax year remember to register this with HMRC and carry it over to the next tax year.

The loss can be offset against any future profits.

Hope this helps.

Rgds

John

[Grange]

Yes, because your business continues even if you have no tenant. You still have a BTL. So you can also claim electricity, council tax etc. for the void period against tax.

[goonersck01]

John and Grange,

Thanks for your responses. Very helpful

Ugo