Maintenance vs Renovation and Tax Deductions
Our guide reveals every legitimate tax deduction available to New Zealand property investors, helping you maximise your returns while staying compliant with Inland Revenue requirements.
When Is Work on a Property Non
If a property owner allows a tenancy to end and then carries out renovations before selling the property—rather than re-letting it—these renovation costs are not tax -deductible.

Whether a tax deduction for the costs of fixing up or upkeep of a rental property, is claimable is going to depend on the nature and extent of the work in relation to property as a whole.
Property repairs or maintenance
If your rental property is an apartment in a unit title development you may be able to deduct body corporate levies from your rental income. This depends on what the levied funds will be used for.

Residential rental property deductions
The residential property deduction rules (also known as the ring-fencing rules) and how they set out what you can do with your residential property deductions .
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