UK Landlord Forum / Life

Hi
I'm a newbie to the site forum I have had a great read of the free guide on here about becoming a landlord for the first time.

My story is I've owned a property for many years and it's now come back into my possession and I have decided to rent it out. When I bought this property it cost me 60K now I've been told if I decided to sell it not to accept anything less than 250K.

As I have said I have decided to rent it out but I'm not clear on a few points.

I currently work full time and my salary after tax is 30K so need to know the best way to register it as another income or company or what?

I'm currently just at the start of all of this and the property needs new windows as the old ones are rotten and needs complete decoration throughout approx 10k being spent on it, would that be tax deductible ?

Thanks

First question is it depends on what the rental income is.

2nd question is, they are tax deductible.  Not deductible from  income tax though.

Hi thanks for the quick reply

The rental income will be £1,400 PCM/ £16,800 PA

sorry I did mean tax deductible

Thanks

Well that would put you 4K into the next income tax bracket.  Can you share the income with someone?  Maximum tax charge (as I'm sure you're aware) is 40% on the 4k but then you'd definitely have legitimate expenses to put against that income tax whilst getting the property to let. 

You could always insist on cash and pocket it?

Thats what Hippo does..... (joke Mr Tax man)

Thanks could you please explain how I would be able to share the income with my long term partner?

The property is currently just in my name..

I'm more than happy to pay any taxes due after all my deductions have been made.

Thanks

I'm pretty sure you could proportion a share of the property as theirs.  You'd be best off having a quick chat with an accountant though.  Would involve 2 x self assessments, which aren't hard.

Ok
Many thanks for that