What types of expenses are deductible for my rental property?
- Operating expenses (not covered by the tenant): This includes regular costs related to property management, such as service charges, insurance, maintenance expenses, and management fees.
- Renovation costs: All expenses related to the renovation of the property can be deducted. This includes repairs, upgrades, or improvements that increase the value or usability of the property.
- Depreciation of the property: You can also deduct depreciation, which spreads the cost of the property over its useful life.
- Loan interest: Interest paid on a loan taken out for the rental property is also tax-deductible.
You can find the full list of deductible expenses in your taxx.lu account under the section “Rental income”.
Updated on: 18/04/2025
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