Can I Claim for the cost of a Replacement Bathroom for a Rental Property on my Tax Return?


If you are a landlord and replaced a bathroom in one of your rental property, the rules around what you can claim for against your income tax can be confusing.

Let’s say you have replaced an old dated bathroom (bath, sink and handbasin) with a brand new one but added a heated towel rail. The cost of replacing the sink, bath and toilet would be an allowable expense on your self assessment tax return. However the heated towel rail is not a replacement but something new – on this basis the cost of this heated towel rail would not be allowable expense against rental income.

You should keep hold of the receipt though since if/when you come to sell the property you would be able to claim for the cost of the towel rail as a capital improvement against the profit made on the capital gain of the rental property (reducing the capital gains tax due).

Anita is a Chartered Accountant, turned blogger and creator of the ever popular free Go Self Employed Email Mini Course, which has been completed by hundreds of attendees all over the UK. Using her 10 years experience in accounting, tax and operations for Small Businesses, Anita is on a mission to make finance simple for the self employed, so they can stop stressing about tax & finances and focus on building profitable businesses which will give them the lifestyle they dream of.