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Where Taxpayers and Advisers Meet

Rental income

aayjkay
Posts: 1
Joined: Wed Dec 05, 2018 3:30 pm

Rental income

Postby aayjkay » Wed Dec 05, 2018 3:51 pm

I declared an income of £1450 on my rental property for the year 2017-18.
I understand from the guidance on the Government website: (Please see link underneath, the section 'Property you personally own') that the first £1000 of income from property rental is tax-free. However, the taxman has taxed the entire amount of £1450. Does everyone qualify for the tax exemption on the first £1000 or have I been taxed as such because of my overall (salaried) annual income?


https://www.gov.uk/renting-out-a-property/paying-tax

Thanks

pawncob
Posts: 4192
Joined: Wed Aug 06, 2008 4:06 pm
Location: West Sussex

Re: Rental income

Postby pawncob » Mon Dec 17, 2018 5:50 pm

Read this:
https://www.gov.uk/guidance/tax-free-allowances-on-property-and-trading-income
With a pinch of salt take what I say, but don't exceed your RDA

TheAccountancySolutions
Posts: 3
Joined: Tue Jun 19, 2018 9:52 am
Contact:

Re: Rental income

Postby TheAccountancySolutions » Tue Dec 18, 2018 10:39 am

It says 'You can get up to £1,000 each tax year in tax-free allowances for property or trading income from 6 April 2017. If you have both types of income, you’ll get a £1,000 allowance for each.' This means its applicable from 2017-18.

Regards
Aatif Malik | Managing Partner
theaccountancysolutions.com

bd6759
Posts: 2963
Joined: Sat Feb 01, 2014 3:26 pm

Re: Rental income

Postby bd6759 » Tue Dec 18, 2018 6:21 pm

It says 'You can get up to £1,000 each tax year in tax-free allowances for property or trading income from 6 April 2017. If you have both types of income, you’ll get a £1,000 allowance for each.' This means its applicable from 2017-18.

Regards
It also says that you have to choose whether to claim the allowance or claim expenses. To claim the allowance, it has to be put in box 20.1.


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