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Insights: industry newsletters on tax for landlords of UK property

Insights: industry newsletters on tax for landlords of UK property, whether residents in the UK or non-residents.

Tax returns for the UK property landlord. Making UK tax easy for property owners. Whether you are a UK landlord or a non-resident landlord, Landlords Tax Services provide a complete property tax service which ensures your UK tax affairs are dealt with on time and worry-free. We do it all online and for a fixed fee. No surprises. No stress. Landlords Tax Services offer the easy, professional way to deal with the UK tax obligations of landlords. UK property tax laws are ever-changing and, with more and more people becoming investors and landlords of properties in the UK, Landlords Tax Services have created an easy to use service aimed at providing new or experienced landlords with an efficient system to fulfil their UK property tax needs. Tax Returns for landlords of UK property: the complete tax service for residential property landlords. Our UK based landlord tax accountants can help you comply with UK property tax laws wherever you are in the world. We provide an online, fixed fee property tax service that ensures that the UK tax liability of landlords is kept to a minimum. Our mission is to deal with all our clients’ tax affairs on time and with no stress.

Owners of UK rental property who live outside the UK are obliged to register for UK taxes whether any tax is due or not. The UK has Tax Treaties with over 130 other countries. These treaties generally include sections designed to prevent the same income being taxed twice. Usually the UK will tax UK rental income first and the other country will allow you to deduct the UK tax from the local tax up to an amount equal to the local tax. Tax returns for the UK property landlord. British and EEA citizens living anywhere in the world, along with many other people living in the country of which they are citizens, are entitled to the UK “Personal Allowance”, a £0% rate band that means the first £12,570 of profit from rental may be free of tax in the UK, and profits between £12,570 and £50,270 are taxed at 20%. Higher rates apply to UK income in excess of £50,270 (2024-25 rates).

Making Tax Digital: an introduction
Published 17th August 2021; Updated 11th March 2024 Making Tax Digital: an introduction UDPATE: Quarterly UK tax reporting postponed to 2026! Some important changes are being made to the way HMRC collects information about your income from UK property Please note: this will only apply if you have a UK National Insurance number (NIN). The changes are a result of the HMRC “MTD” (Making Tax Digital) initiative. These changes don’t […]
Capital Gains Tax has changed
Published 29th April 2021; Updated 9th March 2024 The deadline to submit a Capital Gains Tax Return, and pay any CGT due, on a disposal of UK land or buildings is 60 days from completion (transfer). With effect from 27th October 2021: All disposals of residential property by UK residents has to be reported within 60 days (previously 30 days) of the completion of the sale unless there is no […]
Replacement of furnishings and equipment
Published 31st March 2017; Updated 8th March 2024 Replacement of Domestic Items Relief This relief provides a deduction for the cost of replacing items of furniture or equipment when computing the taxable profit, subject to several conditions: ‍The person claiming the deduction must have a property business that includes a dwelling house The item being replaced must be available for the exclusive use of the tenant The replacement is on […]
Pensions for high earners
Published 3rd April 2023 This note applies to UK residents only Lifetime Allowance The government announced that from 6th April 2023, the Lifetime Allowance Charge (applied where the Lifetime Allowance was exceeded) will be removed. The Lifetime Allowance will be fully abolished from the 2024/25 tax year (this will be included in a future Finance Bill). HMRC has published Pensions scheme newsletter 148 setting out some complexities arising from this […]
Capital Gains Tax and the Principal Private Residence Relief
Published 11th February 2013; Updated July 2015 / April 2021 / April 2023 Everyone thinks they know the rules, but few get it right Capital Gains Tax (CGT) is a tax on the gain in value realised on the disposal of an asset. When it comes to a landlord’s rental property there are many misconceptions and, dare we say, wacky ideas about how to avoid the tax. In this article […]
Non-Residents: beware of changes to Capital Gains Tax
Published 5th March 2019; Updated 21st March 2019 / April 2021 / 27th October 2021 / April 2023 The deadline to submit a Capital Gains Tax Return, and pay any CGT due, on a disposal of UK land or buildings has been extended, with immediate effect, from 30 to 60 days. Notifying HMRC From 2019, you must file a Disposal Return whenever you dispose of UK property including: residential property […]
ATED: Valuation date
First published 27th March 2017; Updated 15th November 2018 / April 2023 Residential property owned by a company is potentially subject to Annual Tax on Enveloped Dwellings where the value on the valuation dates is more than £500,000 Relief from Annual Tax on Enveloped Dwellings (ATED) may be available if the use of the property meets one of several criteria including commercial letting or development. Whether your property qualifies for […]
Register of Overseas Entities for non-resident companies
Published 9th August 2022 Register of Overseas Entities: new laws have been enacted that impact directly on non-resident companies holding UK property New laws have been enacted that impact directly on non-UK companies holding UK property For many years the UK Government has been concerned about the UK property market being used to conceal proceeds of crime, and in particular the ease with which non-resident companies can acquire UK property […]
The Capital Gains trap for non-residents
Published 10th May 2022 Are you a non-resident owning property in the UK? Be aware of your obligations when you sell We have all become used to the idea that since April 2015 non-residents could be liable to Capital Gains Tax (CGT) on the disposal of UK residential property and the same applies to the disposal of purpose-built student accommodation and other non-residential property since April 2019. In each case […]
Finance cost relief
Published 17th February 2020; Updated September 2021 Still puzzled by the S24 restriction or finance cost relief? See the easy-to-read full explanation ‍From 2020 the tax relief that landlords of residential properties get for finance costs is being restricted to the basic rate of Income Tax. The finance cost relief is now given as a reduction in tax due. The definition of finance costs includes: mortgage interest and interest on […]
Your UK bank account may be closing soon
Published 6th November 2020; Updated 2nd August 2021 The Brexit effect In November 2020 we published an article explaining why a number of UK banks were closing the accounts of customers living in the EU. That was a consequence of Brexit. The article is reproduced at the bottom of this newsletter. We must now report that a number of other transactions are being frozen and in some cases accounts are […]
UK tax compliance to get more complicated for some non-resident companies
Published 25th September 2018; Updated 15th November 2018 / April 2021 The content of this newsletter applies to non-UK companies holding UK investment property and which derive most or all of their UK income from the property. With effect from April 2020 all non-resident UK property rich companies have been subject to the full UK Corporation Tax regime instead of the previous simplified Income Tax regime. The note from HMRC […]
Not filed your Tax Return yet? It is now about to get very, very expensive
Published 22nd February 2013; Updated April 2021 So just how much will you have to pay? It used to be the case that it didn’t matter if you filed your Tax Return late if there was no tax to pay because the penalty could not exceed the tax due. No longer such luxury. Now whether you have tax to pay or not there are automatic penalties for late filing and […]
British and own property in the EU? Read this
Published 19th December 2019; Updated April 2021 UK based owners of property situated in the EU may pay higher taxes after Brexit Several EU countries charge higher rates of tax to non-EU residents and after Brexit everyone living in the UK is in that category. For example, the Spanish rate of Income Tax on rentals jumped from 19% to 24% immediately Britain left the EU. On top of that, under Spanish […]
Don’t pay twice: an introduction to Tax Treaties
Published 18th February 2019; Updated April 2021 Relief for UK tax paid – an introduction to Tax Treaties and Double Taxation Conventions and how they can help you The UK has entered into a Tax Treaty with over 130 countries. The Tax Treaty between the UK and another country gives us guidance as to which country has first taxing rights, and what relief you may get in your own country […]
Can your house be stolen?
Published 6th October 2012; Updated 29th November 2018 / April 2021 The quick answer is YES! Here is a true horror story of how a teacher in Hove had his house stolen. In 1998 Mr Hawthorn decided to take a sabbatical from his job as a science teacher in Sussex. He rented out his home in Hove and went as a volunteer to Laos. In 2000 he decided he would stay […]
Too late? HMRC may not refund you
Published 6th November 2019; Updated April 2021 Don’t leave it too late: HMRC may not refund you ‍You may have overpaid H.M. Revenue & Customs HMRC for a whole variety of reasons: Your PAYE coding may have been wrong You may have forgotten to claim relief for something like a pension contribution or Gift Aid Your letting agent may have paid tax on your behalf that was greater than your liability […]
Emails offering Tax Refunds are fraudulent
Published 12th March 2019 Many clients ask us about emails they have received offering refunds of tax. They are all fraudulent scams Treasury Minister Mel Stride MP, the Financial Secretary to the Treasury, said: HMRC only informs you about tax refunds through the post or through your pay via your employer. All emails, text messages, or voicemail messages saying you have a tax refund are a scam. Do not click […]
Property Income Allowance
Published 27th March 2017 The Property Income Allowance is available from April 2017 The Property Income Allowance is an allowance of £1,000 that may be used instead of the normal or usual method of calculating deductions from rents etc. It will only be of benefit to those with very low outgoings. Example 1 Alan lets out his car parking space for £800. He has no outgoing costs. He may deduct […]
Who you should tell about your UK income
Published 11 July 2013 A cautionary note for landlords who live away from their own countries In some countries the basis of taxing individuals is dependent on their citizenship (e.g. USA) while in others it is dependent on their residency. A further complication occurs because if you have income arising in a country of which you are neither resident nor a citizen that country will have the first right to […]