Hayley - Tuesday, June 1st, 2010

Hi, my partner needs to do a tax return as he rents out his house, this is the first tax return as only renting house out since Aug 2009, the house is jointly owned with his ex wife, however he pays the mortgage and receives the all the rental money, she has no involvement the only reason it is still jointly owned is that it was decided to rented out due to the housing market being down, can he just do the tax return or does his ex need to do one as well?

TaxFix - Tuesday, June 1st, 2010

Hayley: As your partner is receiving the rental income for the property he can do the tax return. We would be more then happy to help your partner with his tax return and give him specific advice.

Richard - Thursday, June 3rd, 2010

Hi, I currently complete a tax return for a property I rent out which has the mortgage in my name only. My wife also has a rental property and is in the process of remortgaging – to qualify for the best rate we need to change the mortgage into joint names. My question is, as she receives the rent into her account, would I have to include a ‘portion’ of her rental income on my tax return or can she still do the whole return herself? Thanks.

Kate - Tuesday, June 15th, 2010

I have 6 domestic properties which i rent out. I am not a letting agent, i work from home and am a landlady. On my tax returns, is my business trade classed as a business or classed as rental income only. Thanks

TaxFix - Tuesday, June 15th, 2010

Kate: Renting a property is classified as a business.

Loz - Thursday, June 24th, 2010

I will be renting out my house shortly. The rental income does not cover the mortgage so I will not be making any profit. Do I still need to inform HMRC? Thanks.

TaxFix - Friday, June 25th, 2010

Loz: If you’re employed, and your taxable income from property is less than £2,500, your tax code can be adjusted to collect the tax on your property income each year. Ask your Tax Office to send you form P810 to report your income each year.

Anonymous - Tuesday, July 6th, 2010

Is there a certain amount of tax free income that we can receive on rented property?

bunty - Wednesday, July 7th, 2010

my son rented out property but lives with us he gets £200 in pocket per month but hes income ending april 10 was £6000 does he need to pay tax on £200 please reply thank you

TaxFix - Thursday, July 8th, 2010

bunty: Normally if you rent out property and receive an income from this you need to let the Inland Revenue know. Sometimes you do not need to do a tax return and your tax code can be adjusted instead. If you need help with your property we offer a service here:

lisa  - Friday, July 9th, 2010

My partner rents his property out and uses a letting agent to look after this, does the letting agent deal with the tax side of things?

TaxFix - Saturday, July 10th, 2010

lisa: If you are renting a property you need to let the Inland Revenue know that you are receiving this income. This is usually done through a tax return.

Anonymous - Tuesday, July 13th, 2010

I have a property I rent out, it has consistently lost money so I havent bothered notifying Inland REvenue, but I guess I should, it has been rented for 3 years.

What do I need to do, will I get into trouble?? I can draw up the accounts myself as they are simply, I was going to claim a deduction of £200 a year for mileage, 10% of annual rent due for wear and tear (about £600), the buildings insurance and cost of Gas Safety Certificate, and thats all.

Going to do it on a cash basis with when rent was received. Mortgage is on interest only, so will be a simple money in money out excercise.

Its exactly 3 years, would I draw up 3 sets of accounts, or 1 to cover whole period.

Nev - Thursday, July 15th, 2010

I am currently renting out a property for £850 per month, with mortgage plus landlords insurance costing me £817.25. Therefore I am “earning” net annual income of just under £400 before repairs, gas safety certificates, etc. I always thought it was the “net” income that the inland revenue was interested in – do I need to inform them of anything yet or am I earning below the requirement for declaration? This is the 3rd year I am renting out the property and, with letting agency fees included, I have probably made a maximum of £500-£600 over the 3 year period (if that!). I have a separate account set up where rent is paid into and the mortgage goes out of and have various documents detailing letting agency costs. Do I need to do anything?

TaxFix - Saturday, July 17th, 2010

Nev: Letting residential property is treated as running a business. If you’re employed, and your taxable income from property is less than £2,500, your tax code can be adjusted to collect the tax on your property. If you are not employed or your profit is greater than £2,500 you will need to let the Inland Revenue know about this profit via tax return.

Ian - Sunday, July 18th, 2010

I am filling in my tax return, what box on the tax return form should i put gas & electric safety certificate costs under?

Alan - Monday, July 19th, 2010

I have sold a property I rented. There is CGT liability at 18% but when added to my income tax liability, the total falls below my personal allowance. Is there any tax to pay?

TaxFix - Tuesday, July 20th, 2010

Alan: The CGT yearly allowance is currently £10,100

Alan - Tuesday, July 20th, 2010

After £10,100 CGT allowance still left with CGT to pay @18%. When this CGT is added to taxable income the total is still below personal allowance for 65+ of £9490.
Hence the question Is there any tax to pay?

TaxFix - Wednesday, July 21st, 2010

Alan: The income tax allowance and the CGT allowance are seperate and not combined.

Anonymous - Thursday, July 22nd, 2010

I am returning to live in a property I have rented for 13 years, I am having to refit a new kitchen, new bathroom, new flooring throughout the house, my question is – What will I be able to claim as expenses on my last tax return?