Beneficial interest implications for bank account

Hello. I have recently completed a Form 17 HMRC declaring beneficial interests in income arising from a property. Instead of the default 50/50 split, it has now been changed to 0% my share and 100% my civil partner's share. I have not transferred legal ownership; only beneficial ownership. Given that the form 17 states that my share of the rental income is 0% and my partner's share of the rental income is 100%, I am wondering if I need to change the account into which rental income is received and from which mortgage payments are made? At the moment, the rental income comes into a joint account and this is the same account that the mortgage payments are made from. So my partner's name is on the account, as well as mine. I have 4 questions: 1. Is this current joint account set up permissible for the purpose of rental income? 2. If not, do I need to ensure that the rental income goes into a bank account that is in the sole name of my civil partner? 3. Is this current joint account set up permissible for the purpose of mortgage payments and other property related expenses? 4. If not, do I need to ensure that mortgage payments and other property related expenses are paid via an account that is in the sole name of my civil partner? It should be noted that I am not drawing any income from the property following the completion of the Form 17 and therefore not drawing down any monies from the account that rental income is currently being paid into. Clarity on the above questions would be much appreciated. Thanks.

Hi,
A Form 17 can only be used when a property is held in joint names. It is not clear if your property is in joint names or you have sole legal ownership. If it is in joint names then it is up to you/partner what bank account or type of bank account you want to use for rental income purposes;
HMRC do not advise or comment on this.  
If you have sole legal ownership and the mortgage is paid by you then mortgage relief can only be claimed by you - your partner would not be able to claim this so in effect as you hold 0% beneficial interest no relief would be able to be claimed.
More information can be found:
TSEM9800 - Property held jointly by married couples or civil partners: contents  
​​​​​​​Thank you.

Thankyou. To confirm, the property is held in the joint names of my partner and myself. I do not therefore have sole legal ownership. I am assuming therefore that it would still hold true that it is up to me/my partner to determine what bank account or type of bank account we would use for rental income purposes?

Hi ,
 

Thank you for your question. You are correct, whether the property was held under sole ownership or joint ownership, the account as to where rental income is received does not determine who declares income and expenses in reference to a rental business, instead, the split shown in the Form 17 as you have made reference to joint ownership of the rental property determines the overall split and declaration. Thanks