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Posted Sat, 25 Nov 2023 23:21:29 GMT by Matthew Whitehead
Hoping someone can give a bit of guidance! I've read lots of different places and the answers conflict a little sometimes. I am classed as an "accidental landlord" so doing my first tax returns. I had to sort out a BTL mortgage when the old rate finished (was on a permission to let when residential) which incurred a product fee. I know I can claim costs of getting finance on a BTL mortgage but does this extend to product fees? Additionally, there was some repair work of a regular handyman I used who doesn't really do invoices, he just texts me the cost of parts and labour and I send the money across. Are the messages/bank statements sufficient evidence for this expense?
Posted Tue, 28 Nov 2023 13:32:54 GMT by HMRC Admin 8
The tax relief that can be claimed for residential property financial costs includes 'fees and any other incidental costs for getting or repaying mortgages and loans', so the product fee would be allowable:
Changes to tax relief for residential property                                        
HMRC's general policy on keeping records of expenses is provided below. You do not have to provid receipts and invoices etc when you submit your tax return, but you may be asked to provide them at a future date.
In the absence  of invoices, messages and bank statements would be acceptable.           
A general guide to keeping records for your tax return
Thank you.

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