Skip to main content

This is a new service – your feedback will help us to improve it.

Posted Wed, 18 Dec 2024 12:08:41 GMT by Wojciech
I have taken a small loan to refurbish a buy to let property, held in my name (not under a company) - is interest on the loan 100% deductible or just 20% deduction allowed?
Posted Mon, 06 Jan 2025 09:30:34 GMT by HMRC Admin 19 Response
Hi,
The following guidance confirms thst as long as the loan taken out is wholly and exclusively used for the rental business, this would be an allowable expense and would be declared in the “Loan interest and other financial costs” box.
PIM2010 - Deductions: general rules: applying the wholly & exclusively rule  
Thank you.

You must be signed in to post in this forum.