Irish rental income

What expenses are not allowed?

You cannot deduct the following expenses when you are calculating your rental profit or loss:

  • pre-letting expenses, other than property fees before you first rented out the property. However certain pre-letting expenses on vacant residential property may be deductible.
  • post-letting expenses
  • capital expenses on property improvements unless allowed under an incentive scheme
  • expenses on premises rented out on an uneconomic basis, where it is not possible to make a profit from the rent received
  • expenses in between renting out the property in certain circumstances
  • interest from the time you buy the property up until it is first rented out
  • Local Property Tax (LPT)
  • any cost for your own labour when carrying out repairs to the property.

Next: How do you calculate your taxable income?