Hello Everyone,

I have few questions regarding filing income tax return:

1. I bought a house in 2006 and rented (with utilities) that house, now which expenses I can claim in my rental income.

2. I paid some lawyer fee etc at the time of buying the house, can I claim those expenses too.

3. Can I claim deductions for mortgage payments (principle and Interest paid).

Looking forward for your replies.

Regards,

Decent Punjabi. Manitoba

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Regards,

Decent Punjabi

Quote:

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Originally posted by decent punjabi

Hello Everyone,

I have few questions regarding filing income tax return:

1. I bought a house in 2006 and rented (with utilities) that house, now which expenses I can claim in my rental income.

2. I paid some lawyer fee etc at the time of buying the house, can I claim those expenses too.

3. Can I claim deductions for mortgage payments (principle and Interest paid).

Looking forward for your replies.

Regards,

Decent Punjabi. Manitoba

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Pramod Chopra
Senior Mortgage Consultant
Mortgage Alliance Company of Canada

Thank you very much Pramod ji.

Decent Punjabi

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Regards,

Decent Punjabi

I realize this was an old post, but this is a very important question that gets asked a lot.

1) Some of the common expenses you may claim are advertising, insurance, mortgage interest, office, legal/accounting fees, maintenance and repairs, property taxes, and more.

2) The fees paid to the lawyer on purchase will generally be used to increase the cost of the property when you sell it. Increasing the cost effectively reduces the gain.

3) You may claim deductions for mortgage interest, but not the principal.

I do hope this helps you or anyone that may stumble upon this.

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Madan Chartered Accountant team
http://www.madanca.com" rel="nofollow">LINK