renting property (undeclared) but non taxpayer

shaqmedia@btinternet · Postby **shaqmedia@btinternet** » Sat Mar 15, 2003 3:30 am

Hi- I bought a property with intention to stay there , but shortly after left work - I then moved in to my husband's house and put my own property up for rent. I was not working for 2 years after that so had no other income (and all my rental was going on the mortgage). I have been working for a bout a yr now but only part-time so don't pay any income tax. I have received a letter from the IR saying they have info that I have a rented property. Will I have to pay any tax do you think even though I am a non-taxpayer and not getting any income (or very little) from the property . Thanks in advance..

Huw Williams · Postby **Huw Williams** » Mon Mar 17, 2003 9:19 am

To work out whether there is any tax to pay, you would need to do the sums on the rental property.

One important fact is that there may be a profit even if you are only covering the mortgage payments, because you can only have a deduction for the interest element of any mortgage payments.

The Revenue produce a help-sheet for filling in the rental pages of the tax return which should guide you through most of the expenses you can claim.

When you know your rental profit is it more than your personal allowance? If so there is tax to pay.

Huw Williams
enquiries@huwwilliams.co.uk