½Û×ÓÊÓƵ

Tax deductions may be claimed for expenses incurred solely for producing the rental income during the period of tenancy. Such expenses include the interest expenses, residential property management fees, fire insurance premium charges, repairs and maintenance expenses, internet charges, utilities charges.

To simplify tax-filing and reduce the burden of record-keeping, there is an option for an individual to deem an amount of rental expenses, calculated based on 15% of the gross rent, and offset the amount against its gross rental income. When such an option is adopted, the individual would not be able to take a deduction on any other expenses, except for the mortgage interest on the loan taken to finance the tenanted residential property. Supporting documents relating to the mortgage interest would have to be retained for at least five years for verification purposes.

Alternatively, an individual could opt to claim the amount of actual rental expenses incurred. The relevant supporting documents for such expenses would have to be retained for at least