Renting out a property whilst self-employed.

[Mark Wileman]

Hi guys,

 

I'm just making up some spreadsheets to track my income/expenditure and have a question regarding my property income I get from renting it out.

 

In terms of a tax return, do i just put all my income/offset able expenditure down or does it have to be categorized into Arb/Landlord finances?

 

Thanks.

[Stubby]

Ask your accountant . Until I retired I worked with/for my mate who did all the climbing . He had several " student  lets " Seemed to work well . 

[Mark Wileman]

I'm trying to avoid getting an accountant until 2018 (when my first tax return will be due), so will just turn up with all my income/spends and receipts all in order good to go for a return; as opposed pay for him or her to punch data into a spreadsheet!

Plus i'm a labour only SC mainly so my financial circumstances are pretty simple; get paid and buy shiny tree kit!

[Inoff the Red]

Property income needs to be identified separately from your trading income. There is a separate section in the tax return for property income. Within the property section there is also a separate section for holiday lets because the rules are slightly different , especially if there is an element of personal use.

When calculating the amount of tax you may have to pay, dont forget that the changes to the treatment of any BTL mortgage interest are now beginning to bite as the the restrictions on what can be offset take effect.

[Mark Wileman]

Thanks Inoff, I'll track my property income/allowed expenditure separately.