top of page
  • Zdjęcie autoraRadoslaw Salak

Landlord also has to pay taxes in the UK

Zaktualizowano: 11 wrz 2022


Most landlords in the UK aren’t considered to be business people, in the sense that you have to pay taxes or complete the self-assessment.


This particularly applies to people who have, for example, only one property.

Unfortunately, it happens that everyone who has a real estate earnings is legally obliged to complete the annual self-assessment.


If you work and only earn money by renting a property, you probably don’t have an account with HRMC, so registration is tiring and nobody likes to pay taxes in the UK.


You earn on real estate – pay and cry

If you want to do everything legally, it is worth to carry out a statement of earnings and expenses, that is a classic accounting. Fortunately, in the UK it’s very simple and current computer systems help in this.


It’s worth remembering that the tax year in the UK starts on April 6 and ends on April 5.

It doesn’t matter whether you run a business or rent a property. The procedure for completing self-assessment is practically the same.


So it’s worth knowing what you can and what you can’t put into the basket. I recommend talking to an accountant.


So if you rent a property then you should register with HMRC until October 31 in the first year you start to rent and receive income from it.


After registering at HMRC, you will receive a unique UTR (unique taxpayer reference) number as a self-employed person.


Then you can submit a self-assessment in paper form or online. However, I advise against completing the paper form, in the end we have the XXI century


Important dates for paying taxes in the UK

Registration for self-assessment – until October 31 in the first year of receiving income.

Annual self-assessment in paper form – until October 31

Annual online self-assessment – until January 31


Is completing an annual self-assessment difficult?

In order to make a settlement, you must have all your earnings and expenses related to the real estate written down, as well as other, for example, business, part time job.


If you have one property, you can easily do everything in tables in the Excel. In the case of a larger amount, it’s worth considering the use of some software supporting settlement for landlords. I recommend reading the article, where I described the best programs for online accounting.

Remember that you must keep all bills for 6 years.


What can be put on your expense account?

There’ re a lot of different expenses, but remember that the law likes to change so every year better to check that nothing has changed.

However, there’s a group of expenses that has been unchanged for years.

  1. Some costs associated with the repair of your real estate, but not improvements

  2. Interest on the loan (every year less and less by 2020)

  3. Accounting fees

  4. Building insurance

  5. Running costs, including for utilities

  6. Agency fees

  7. The costs of light and heating

  8. Council tax

  9. Fees for services

  10. Cleaning costs

  11. Advertising costs

  12. The comprehensive list can be found on HMRC websites

When don’t you need pay tax?

There’s a situation when you don’t pay tax and it is Rent a Room Scheme, but I’ll write about it in another article, when it concerns people who only rent a room in their home.

Relevant information for the fiscal year 2017/2018


Free amount of tax so-called basic allowance will amount to 11,500 pounds

More information about tax in the UK in the case of rental income:

All information comes from gov.uk. To find out the details, I recommend talking to an accountant


2 wyświetlenia

Jeśli otrzymałeś wartość i uważasz, że może się to komuś przydać, to proszę o podzielenie się tym blogiem. A jeśli chcesz wspomóc moją pracę, to możesz postawić mi kawę w tym serwisie - https://ko-fi.com/moneygrabbing

*Linki z gwiazdką mogą być linkami afiliacyjnymi i jeśli skorzystasz z usług polecanych firm, to mogę dostać wynagrodzenie. Oczywiście te prowizje są przeznaczane na rozwój bloga i dziękuję za twoje wsparcie.

Serwis moneygrabbing.co.uk przedstawia prywatne opinie autora.

Autor nie ponosi odpowiedzialności za decyzje czytelników. Zawsze staram się przedstawić aktualne informacje ale mogą już być nie aktualne. Dlatego przed podjęciem decyzji proszę o ich weryfikację. Serwis moneygrabbing.co.uk nie jest regulowany przez Financial Conduct Authority, przedstawia prywatne opinie autora, więc nie można ich traktować jako rekomendacji i nie ponosi odpowiedzialności za decyzje czytelników ani za aktualność prezentowanych informacji. Produkty finansowe często się zmieniają dlatego przed podjęciem decyzji zawsze uważnie przeczytaj wszystkie informacje na stronach docelowych. Zapoznaj się ze stroną Zrzeczenie się odpowiedzialności.

bottom of page