Can I offset the legal cost of evicting a tenant against my yearly tax return?

Question

Can I offset the legal cost of evicting a tenant against my yearly tax return or is this only applicable to mortgage legal costs?

Answer 1

The cost of running/owning/maintaining a rental property is quite correctly allowable against the rental income derived from that property.
If you properly declare your rental activities on your tax return, then the cost of evicting a tenant is properly allowable on your tax return as a cost of running/owning/maintaining that property.
If of course you don't properly declare the income, then don't try to claim the costs and keep quiet so that no-one puts the Inland Revenue onto you for tax cheating

Answer 2

If your rental real estate is a business venture ( meaning that if the apartment is a legal apartment that you are claiming on your taxes with property value appreciation and stuff ) then yes, you can claim the deductions of legal costs of evicting your tenant.

But, always check with your accountant.

Answer 3

This will be an allowable expense against your property income. If your accounts show a loss on your properties, this can be carried forward against future income or offset against other income arising in the same year.