Rental Income Tax Return

I'm completing a form 11 for rental income (apartment) for 2007, this is my first time to do this so I'm a little unsure of a few details, would appreciate if anyone could help me with the following:

1. Capital Allowances - how do I determine the value of these items as I did not buy them they came with the apartment when I bought it. For example do I value a bed at 200 or 700 euro?
Do I need reciepts to prove cost or just an estimate.

2. How do I perform the actual capital allowance computation?

3. I had repairs/painting completed last year- repairs costing 200 and painting 1000. The tradesmen who completed this work were guys I found through local paper ads , They did not supply me with reciepts as it was cash job, I dont even have names or addresses for them, so can I claim these expenses back?
4. Do I include rent actually recieved in the tax year. For example I recieved rent on 20th dec 2007, but although recieved in 2007 it actually related to januaury i.e it covered the tenants rent up to jan 20th as rent was recieved a month in advance.

Any advice would be greatly appreciated.

smarty121 said:

IThe tradesmen who completed this work were guys I found through local paper ads , They did not supply me with reciepts as it was cash job, I dont even have names or addresses for them, so can I claim these expenses back?

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Nope. And you need an accountant.

1. Capital Allowances - how do I determine the value of these items as I did not buy them they came with the apartment when I bought it. For example do I value a bed at 200 or 700 euro?
Do I need reciepts to prove cost or just an estimate.
Estimate their current value when the apartment was bought (and keep a record of these in case you get a revenue audit).

4. Do I include rent actually recieved in the tax year. For example I recieved rent on 20th dec 2007, but although recieved in 2007 it actually related to januaury i.e it covered the tenants rent up to jan 20th as rent was recieved a month in advance.
You include the rent you are entitled to in the tax period, so the full amt received on 20th Dec.

Why isn't the OP filling out a form 12?

Well, the OP did not say s/he is a PAYE worker, so maybe Form 12 does not apply to him or her.

i am also a PAYE worker, what is the difference between form 11 and form 12, if i am a paye worker do I have to fill out form 12 or will form 11 be sufficient.
The previous poster said I need an accountant, surely I dont need one if I can manage to get my capital allowances correct???
Anyone know how I actually do out the calculation??

What I meant is, if you don't know the answers to these questions already, you really should speak to an accountant, at least the first year. Perhaps you'll feel confident to fill in the return correctly next year, once you know the ropes. Entirely up to you, of course.

You can use Form 12 if you are a PAYE worker with net income from other sources of no more than €3,174.

webtax said:

You can use Form 12 if you are a PAYE worker with net income from other sources of no more than €3,174.

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Thanks for that, you would think that it would say that somewhere on the form itself!

Stifster said:

Thanks for that, you would think that it would say that somewhere on the form itself!

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be warned - i did this last year and they returned the form 12 in the post with a letter telling me to complete a form 11 instead, and when I phoned to ask why they said they were moving more people to form 11 , didn't really get a clear answer why as net non PAYE income ceratinly didn't exceed €1,000. They mentioned something vague about an initiatibve to move more people to form 11 to improve processing

I agree with extopia that an accountant for the first year would be a very good idea. You are then less likely to miss something you can claim and the fees for an accountant are also tax deductable. You should also look up revenue.ie as it has plenty of information as does AAM if you do a search. The 'capital' allowances you refer to are I assume the wear and tear allowance on furniture and fittings which is 12.5 % per year for 8 years. Normally capital expenditure would be set against Capital Gains Tax should you sell the property. You just need to estimate the costs of the furniture.

[broken link removed] an interesting comment on whether to file form 11 or 12 from the Taoiseach.