Rental property tax return NZ: a simple 2026 guide
If you earn rent from a residential property in New Zealand, you report it to Inland Revenue every year. This guide explains the forms, what you can claim, and the deadlines. If you would rather not do it yourself, we can file it for you.
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Step 1: The right forms
- IR3R - a rental income schedule for each rental property. Co-owners enter only their share.
- IR3 - your individual income tax return. Amounts from the IR3R flow into the IR3 in myIR.
- Companies use an IR4, partnerships an IR7, trusts an IR6, and look-through companies an IR7 with owner schedules.
- Non-residents use the IR3NR.
Step 2: Add up your rental income
Include all rent received for the tax year from 1 April to 31 March, and any other rental-related income. If you are unsure about an item - such as bond money kept or an insurance payout - ask us and we will check how it should be treated.
Step 3: Claim your expenses
- The interest part of mortgage repayments - 100% from 1 April 2025 (80% for 2024-25). The principal is not deductible.
- Rates, insurance on the property, and agent fees for collecting rent, maintenance or finding tenants
- Repairs and maintenance (not additions or improvements)
- Depreciation on capital items such as chattels (not on the land or building)
- Accounting fees and travel to inspect or repair the property
Step 4: Losses are ring-fenced
If your expenses are more than your rent, the excess is carried forward to future years. It cannot reduce tax on your wages or business income.
Step 5: File on time
Without a tax agent the IR3 is due 7 July. With a tax agent, the return can usually be filed as late as 31 March the following year. If the tax you had to pay at the end of the year was more than $5,000, you will generally have to pay provisional tax for the next year.
Free checklist - what to send your accountant
- Rent statements or property manager's annual statement
- Loan interest statements for the year
- Rates and insurance invoices
- Repair and maintenance invoices
- Purchase settlement statement (if bought this year)
- Details of any new chattels
Use our rental property questionnaire to send everything in one go.
Common questions
Do I need to file a rental tax return if I only rent a room?
Boarders in your own home are treated differently. If you have 4 or fewer boarders, Inland Revenue's standard-cost method may mean the income is not taxable - for 2025-26 the standard cost is $245 per boarder per week. Ask us and we will check.
Can I file the IR3R myself in myIR?
Yes. Many landlords use an accountant to check their claims and to get more time to file.
What if I missed previous years?
We can help file overdue returns and talk to Inland Revenue for you.
Talk to a property accountant today. Call 021 0234 6659, email ysm@yugrajca.co.nz, or book a call. We work with property owners all over New Zealand by phone, email, WhatsApp, Microsoft Teams and Google Meet, in English, Punjabi and Hindi.
Disclaimer: This page is general information only, based on Inland Revenue guidance as at October 2026. It is not tax, legal or financial advice for your situation, and tax rules can change. Please talk to us, or another qualified adviser, before acting. Yugraj Singh Mahil Chartered Accountants Limited does not provide financial, investment or mortgage advice. Last reviewed: October 2026.