While many landlords don’t think that they are self-employed, HMRC does view them in this way and demands that they complete a self assessment tax return. The process of completing this paperwork can be very difficult and time consuming so here is a quick guide to help.
FOR LANDLORDS : WHAT TO LOOK FOR
As a landlord you will need to register with HMRC for self assessment. You will then be able to complete your tax return online. There is a deadline set for every financial year, and if you miss it you will face a penalty. After filing a tax return you will then have to pay the amount of tax that you owe. You will need information about your other income through the tax year together with income from properties and expenses that you want to deduct. Keeping records of your expenses and income is essential to completing your tax return accurately. You will also require a UTR from HMRC which you will be given when you register.
Allowable Expenses: The tax system is constantly changing, and the expenses which can be claimed by landlords are frequently changing however some of these include:
There may also be other expenses which can be claimed. Using the services of a skilled accountancy firm will ensure that your self assessment form is completed correctly and in time, in accordance with the many changes in the law which are being made.
Call us today and we can help you in organising your property income and expenses. We will advice you on allowable expenses so you do not miss out on tax reliefs.