Skip to main content

This is a new service – your feedback will help us to improve it.

Posted Tue, 15 Oct 2024 13:18:31 GMT by st1978 Thapa
Hi all, I currently own a property solely, Recently, I have executed a Deed of Assignment (DOA) transferring 95% of the beneficial interest in the property to my wife. Given that the property is solely owned by me, I have been advised that Form 17 is not applicable in this scenario. However, I am unsure how I calculate the rental income/profit as the DOA was completed in Dec. For example if I receive 10k of rental income from Apr to Dec @100%, do I then take 5% of the rental income from Jan to March ? Also, if I pay all the costs including mortgage, agency fees, insurance etc what does my wife enter for costs ? Thanks in advance. Regards ST
Posted Tue, 22 Oct 2024 08:01:18 GMT by HMRC Admin 17 Response

Hi ,
 
Thank you for your question. 

If 100% of the rental income was yours from April to December, then it was 5% from January to the end of the tax year, you will need to apportion it accordingly. 

If you are solely responsible for all costs/expenses, then you alone can claim. 

If  your wife does not pay any costs/expenses, then she cannot claim for such .

Thank you .   
Posted Mon, 06 Jan 2025 16:19:14 GMT by st1978 Thapa
hi thanks for the information. When we receive the income from the management agency it comes to us with their expenses deducted. Do I use this figure to split the income or take the gross income before expenses ?
Posted Mon, 20 Jan 2025 13:13:17 GMT by HMRC Admin 8 Response
Hi,
You would declare the gross income split accordingly between both parties, then subtract the management agency fees as a claimable expense within the SA105 Property page.
Thankyou

You must be signed in to post in this forum.