Richard Bruton (Dublin North Central, Fine Gael)
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Question 102: To ask the Minister for Finance the changes which have been made in the extent to which refurbishment expenditure is tax allowable for landlords against their rental income; and if he is satisfied that the tax code provides adequate allowance for the legitimate expenses of landlords. [35423/09]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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I am advised by the Revenue Commissioners that there has been no change made in the extent to which refurbishment expenditure is tax allowable against rental income. The Commissioners have informed me that expenditure, that is revenue in nature, on the refurbishment of a rental property, for example repairs and maintenance, remains an allowable expense in calculating a person's taxable rental income.

Refurbishment expenditure that is capital in nature, for example, additions, alterations or improvements, is not in general an allowable expense. However, this restriction was relaxed, in the case of "section 23" properties in the various property incentive schemes, such as the urban renewal scheme and the countrywide renewal scheme, provided the rental premises concerned met the relevant conditions for the particular scheme and the refurbishment expenditure was incurred by 31 July 2008. Details of the various property incentives schemes are available at www.revenue.ie I am satisfied that the code provides adequate allowances for relevant legitimate expenses.