Any accountants on here? Quick boring tax question

[Mad Eyed Screamer]

I think most of our MP's go down the route of not declaring extra income so that's my advice.

Yes
And of course they never forgrt to claim for the refurb either!

 

[Tuearts right boot]

I think most of our MP's go down the route of not declaring extra income so that's my advice.

But dont forget it's always a simple missunderstanding..........HMRC may not turn a bling eye to us mere mortals.

 

[Blumers Bloomers]

Thanks all appreciated. Best get filling in that self assessment form.

Not one request for free rentals for bluemooners, this place is going to the dogs !

 

[denislawsbackheel]

Thanks all appreciated. Best get filling in that self assessment form.

Not one request for free rentals for bluemooners, this place is going to the dogs !

You don’t declare this tax years income until next years tax return…

 

[Tuearts right boot]

You don’t declare this tax years income until next years tax return…

....and dont forget they will want something extra on account for the following year if you're in profit.

 

[Xhavenjoe]

Leave me alone. Next you'll be telling.me John Noakes is no longer.on Blue Peter!

He is but he was missing today as he had to bring Shep to the vets

 

[andyhinch]

Thanks all appreciated. Best get filling in that self assessment form.

Not one request for free rentals for bluemooners, this place is going to the dogs !

Ric not charging you for free advertising is more disappointing :-)

 

[Blue Mist]

You need to do a self assessment. It's easy to do once set up , but setting it up online is a nightmare. I'd suggest you get started ASAP and save all passwords and references numbers etc carefully. First thing you need is a code, one for each of you. You can off set the cost so dig out all the detail and save it somewhere.

Nooooooooooooooo. Self Assessment is not easy and it takes ten years to get off the fucking thing.
OP. The first question to ask is to the Management Company. Ask them if they tell the tax man. If they do, yes you need to do a self assessment form. If they don't, say fuck all to anybody.
The reason I say self assessment is difficult is you have to list everything, even all the info already declared by PAYE. All your savings have to be declared. All your records have to be kept, in paper form for 5 years. This includes bank statements, receipts the lot. The reason it has to be paper is because if the IR investigate you have to give them all the documents 'in a readable form'. I knew someone that stored everything on a floppy disc. At the time it was state of the art...... 4 years down the line he had to get everything printed out at his expense as even he no longer had the reader.

If you are not running it as a business, do nothing tell no one.

 

[Blue Mist]

We have a property in Chester that we rent out. SWMBO completes the HMRC online self assessment forms every year.

We make money after the fees and maintenance are paid and because it’s just over her allowance when her NHS pension is taken into account the tax is pretty low.. ~£300 this time

Pretty easy to do

@Bluemanc100 Bearing in mind you cannot claim tax relief on any mortgage you may have on the property how does that work out ?
Rent 12 x £600 = £7,200.
Maintenance etc 12 x £100 = £1,200.
Profit £6,000. Your wife's personal allowance is used up by her pension so you have 20% tax on 6k = £1,200.

OK I've made those figures up but unless you have had one off repairs to pay for I can't see £300 bring right.

 

[Mr Kobayashi]

@Bluemanc100 Bearing in mind you cannot claim tax relief on any mortgage you may have on the property how does that work out ?
Rent 12 x £600 = £7,200.
Maintenance etc 12 x £100 = £1,200.
Profit £6,000. Your wife's personal allowance is used up by her pension so you have 20% tax on 6k = £1,200.

OK I've made those figures up but unless you have had one off repairs to pay for I can't see £300 bring right.

You've assumed it's 100% occupancy...