Can I Claim Bathroom Renovations On My Taxes
Home and Garden

Can I Claim Bathroom Renovations On My Taxes

In most cases, taxes cannot be claimed for bathroom renovations for a personal residency. Even though the claim can be made based on energy credit for installing the different energy-efficient equipment.

These may include energy-efficient windows, water heaters and even skylights. But for home improvements, while selling a house, taxes can be claimed based on home adjustment costs.

Even though you might not be aware, the income tax department has offered various relieves for borrowers. These can be claimed for renovations and repairs of self-occupied properties as well.

The bank will provide you with outstanding loans for the refitments and refloring of the bathroom. The IT department generally includes different renovations and constructions under home improvement.

These also extend to bathroom renovations Auckland that include reflooring and re-tilling. Tax benefits can also be claimed for plumbing work or anything included under a home improvement loan.

But you cannot avail of tax benefits for the principal amount of the home improvement. This is not advisable under the income tax act of section 80C. But if you take a home improvement loan for a second house, you can claim tax deductions.

This can be done for interest repayment of up to 30,000 over the home loan repayment. Any expenses related to repairing and maintaining your rental property, including bathroom repairment, can be deducted.

The deduction can be made if there isn’t a need to capitalize the expenses. You are allowed to capitalize any and every payment that you make towards improving your rental property.

Any cost for improving the property, such as repairing the bathrooms, can be included in the tax benefit. The three primary examples of enhancements include:

  • Betterment Of The Property
  • Restoration Of The Property
  • Adaptation Of The Property

Betterment Of The Property

The betterment expenses include expenses related to the repairing or fixing of the pre-existing defective parts or conditions. This can consist of plumbing, repairing or changing the bathroom fixture, or even refitting the tiles.

This can include anything that can be used to increase the strength and quality of the property.

Restoration Of The Property

Restoration expenses include expenses associated with changing the substantial structure of a part of the property. This will consist of any costs incurred due to casualty losses or for rebuilding certain parts of the property.

Adaptation Of The Property

The adaptation costs include the expenses that are needed to alter the property. This is generally not intended for the regular use of the asset while renting out the property. This can include all types of alterations done to better the property.


Tax benefits can be claimed for all types of renovations, including bathroom renovations for rental properties. These are included within the home improvement loan, including all types of repairs and maintenance.


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