Write off property investment expenses?
Can expenses incurred for the specific purpose of evaluating properties be written off against income not related to those properties?
In an example, prior to buying a property you may hire inspectors to validate that the building meets building, fire and municipal bylaws, has current occupancy permits etc. Those inspections can cost a few hundred dollars and if you dig up something that results in you deciding the purchase doesn't make sense you are out of pocket those expenses. You will earn no income from that property because you don't purchase it so can you write those expenses off against income from your regular day job?
In an example, prior to buying a property you may hire inspectors to validate that the building meets building, fire and municipal bylaws, has current occupancy permits etc. Those inspections can cost a few hundred dollars and if you dig up something that results in you deciding the purchase doesn't make sense you are out of pocket those expenses. You will earn no income from that property because you don't purchase it so can you write those expenses off against income from your regular day job?