Property sideways loss relief

[Wildtypitch]

Hello. I've been renting and submitting self assessment tax returns on my rental income for a number of years. In 2023 I decided to do up my property as it was in need of repair and replacement. I did this myself which resulting in a year where it was of the market. Hence in the tax year my expenses (materials, new kitchen etc, handyman labour) were large than my rental income for 2023 by the tune of £7000. I understand that there is provision for sideways loss i can make. Can I do this via my standard self assessment submission?

I've also split the expenses by maintenance revenue. and improvement capital expenditure. Maintenancefor all decision and restoration. And the kitchen as capital so potentially offset against capital gains should I sell. Is that correct? My labour had been considerable but for tax purposes has been free. Which I presume is the best way to deal with this.

Thanks in advance.

[bd6759]

Property business losses are carried forward and set against future profits. There are no sideways provisions.

You should be able to treat the kitchen as a repair if it is a like for like replacement.

You cannot deduct a notional cost for your own labour.