Form 17 for transferring rental income

Dear HMRC Team, My wife and I own a property 50:50 jointly. We rented it out last year and would like to split the rental share 80:20. We are both in two different tax brackets. Do I need a deed of trust signed by a solicitor or will form 17 on its own suffice signed in front of witnesses? Thanks 

Name removed admin .

Hi ,
 

Thank you for your question. A Solitotor is not rquired when creating a declaration of trust . A trust deed is a general term for a document which contains the terms of the trust . A declaration of trust is a type of trust and is a document by which the person or people who own as assess delare that they hold it on trust in specifed shares. Evidence of the unequal shares should be provided with the form 17.  Thank you .

Thank you HMRC Admin 17. As a follow up question - can I submit Form 17 in January 2025 along with my tax assessment submission for last year? Kind Regards

Hi Dheeraj Parashar,
You should submit your Form 17 and supporting evidence as soon as possible, as the declaration will only take effect from the date you and your wife sign it.
Your rental income should continue to be divided on the 50:50 basis until the Form 17 signature date, and can only be split 80:20 from then on.
If you wait until January 2025 to sign and send your declaration, then you will not be able to apply the 80:20 split to your rental income until then. We must receive the signed Form 17 declararation within 60 days of the date on which you both sign it for it to be treated as a valid declaration. 
Thank you. 

Thank you HMRC Team, What evidence do we need to submit with form 17, if any? Kind Regards, Dheeraj

Hi Dheeraj Parashar

You need to send your Form 17 in with a Deed of Trust.

Thank you