If you require our accounting services, call 028 40662490.
If your rental income is more than £2,500 per annum and you do not already complete a tax return, then you need to register for self-assessment and your income will need to be reported on a tax return.
This is the total amount of rent money you receive from a tenant or a lodger (or from organisations such as Letting Agents on their behalf) before deducting any expenses.
For example, if you receive a rent of £500 per month from the tenants of a property you own, the total rental income for the year would be £6,000.
You can deduct certain expenses from the total rental income. The tax you pay is based on the rental income figure after deduction of expenses. You may only deduct expenses that are the result of letting out the property. There are special rules for some types of expenses, especially property repair costs. Get in touch with our office and we can give advice on the property expenses that can be deducted.