Annex V + V in case of non-delivery
May 28, 2012 | 30,00 EUR | answered by Wirtschaftsprüfer André Hintz
Dear Sir or Madam,
In the context of a real estate acquisition, the handover of the rented property has been delayed beyond the turn of the year.
(Notary contract in 09.2011, handover was in 03.2012)
How should I now proceed with the calendar year 2011? Is a "Anlage V+V" necessary or can the incurred costs (notary fees, court costs, financing costs, etc.) be deducted as part of the 2012 tax return?
Thank you in advance for your response!
Kind regards,
M. Scholz
Dear questioner,
I would like to answer your question within the scope of an initial consultation and based on your fee commitment, in accordance with the rules of the online portal. My response relates to the situation you have described.
Regarding the rental, it is questionable when you incurred the expenses.
For rental and leasing income, the deductible expenses must be compared to the income. The cash basis principle applies here, with the exception of depreciation on the property.
This means that if you have already incurred expenses in 2011 and can prove that you intend to rent out the property, you may and must claim the losses in your tax return on Annex V + V.
Please note that some costs (e.g. notary fees) are acquisition-related costs and must be attributed to the basis for depreciation. This means you cannot deduct these costs immediately.
Since you will not generate any income in 2011, the tax office will usually inquire and/or issue the tax assessment subject to review. To better explain the situation, you can attach a letter to your tax return stating that you intend to rent out the property starting in 2012 and provide a profit forecast for the future.
I hope my explanations have been helpful and remain
Yours sincerely,
André Hintz
Tax Advisor
Steuerberatung@andrehintz.de
