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Q: If a newly acquired sub-sale property requires repair works, would the repair costs incurred be tax deductible?
A: No, if the property has not been rented out before, then the initial repair costs incurred during the vacant period are not tax deductible, but they can be used for RPGT purpose.
If the property is being rented out and there is a need to repair the property, then the repair cost is deductible against the rental income.
Wishing you plentiful tax savings!
YYC Tax Guru