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Apportioning expenses for holiday homes under the mixed-use asset rules

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Some of your holiday home expenses relate to both income-earning and private use. These expenses must be apportioned between these two uses. You need to work out the total of these expenses. You also need to calculate the proportion you can claim as deductions from your rental income.

Add expenses that relate to both income-earning use and private use

This is the expense total for your holiday home that you need to apportion.

Count the days in the income year when your holiday home was used

These will be all of the days that your holiday home was used. This includes income-earning days and private use days.

This is your total usage.

Divide your income-earning use days by your total usage

This is your divided amount.

Multiply the expense total by your divided amount

This is your apportioned expenses.

Add your apportioned expenses to your fully deductible expenses

This is your total deductible expenses. You can deduct these expenses from the income you earnt from the holiday home.

You can estimate what your apportioned expenses using our calculator:
5 mins
Mixed use asset calculator

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