UK Landlord Forum / Life

Hello,

I am in the unfortunate position of having a tenant who won't pay his rent. I have insurance against rent arrears though, so my losses are covered by my insurance company while I go through the legal process to remove the tenant.

I declare rental income to HMRC each year but is my insurance payout taxable as income in the same way?

Not sure about this, does anyone else know?

I'd have thought it would be taxable. After all, it's still the same income that you'd be getting anyway. It's just that it's the insurer/warranty provider paying it, rather than your tenant.

OK, thanks. I'll assume it is taxable.
Cheers

No never do that.
Never assume you pay tax and pay it - that's not sensible.
Do some research and find out.
Call the tax office if you are really stuck (although I have been given incorrect information by them on several occasions).

For your question see PIM1056
It is taxable

Quote from: theangrylandlord on December 14, 2017, 03:10:41 PM
No never do that.
Never assume you pay tax and pay it - that's not sensible.
Do some research and find out.
Call the tax office if you are really stuck (although I have been given incorrect information by them on several occasions).

For your question see PIM1056
It is taxable

Excellent advice, I have had to learn the hard way myself in the past.

-Jeff