Do I have To Do A Tax Return As A Landlord

The general answer is YES, but there are certain exemptions.

If you are on PAYE and have a gross rental income of less than £10K a year, with net profits of £2500 or less a year, you have an option where you don’t have to register for a self-assessment tax return with HM Revenue & Customs. But, You will have to make a declaration in writing to HM Revenue & Customs and request them to collect taxes through PAYE or Tax Code.

What if the property is Jointly Owned ( say – 50/50)

The above threshold is for each individual, If you have a combined rental income of £19500 and net profits of £4,950 a year, it means each of you, will have a gross income of £9750 and net profits of £2,475. It means you will qualify to declare rental income through a declaration and without registering for a self-assessment tax return.

You must contact HMRC if your income from property rental is less than £2,500 a year. But you must report it on a Self Assessment tax return if it’s:

£2,500 to £9,999 after allowable expenses
£10,000 or more before allowable expenses

As a professional accountant, we do advise to register and declare income through a personal tax return.

Last Updated: 3 years ago in Landlords Tags: Accountant for Landlords, Landlord Accountant, Landlord Tax Advisors, Landlord Tax Return

Aamara Waqas

2023-08-27

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2021-11-14

James Smith

2020-08-11

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2019-12-08

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Anna Ruse

2019-11-21

After meeting Peter Burke at a local Networking group, Cruse & Burke Accountants have been handling my self assessment tax returns, since I started working on a self employed basis over 6 years ago. They are efficient and everything is done quickly and professionally, which is great for me, as I would otherwise not have a clue how to complete them myself. I can definitely recommend their services.