claim 20% mortgage loan interest relief for finance cost of property

Dear Sir, I am inputting the figure of tax yar 2022-2023 online. I have a letting property with mortgage to earn my rental income. As per my understanding the finance cost - mortgage interest expense can claim a tax relief. It can be claim 20% of the financal cost. e.g. £7,668 was the interest i paid in tax year. 20% of it = £1533.6 should be deduced my payable tax. However when i entered the amount in "Residential property finance costs "field. and submitted my form. In the section " how we have worked out your income tax", I can only see "minus Relief for finance costs £7,668.00 reduced to maximum allowable" but the amount right to it is £0 x 20% thus the total was also £0. and no reduction on "Income tax due after tax reductions." Can you tell me what wrong with my input /?

Hi
Thank you for your question.
Firstly, your understanding is correct, you may claim interest paid on a mortgage at the restricted rate of basic rate, so in your case, 20% of the £7,668.00, which you have stated totals £1533.60.
The information inputted into your Tax Return will determine how much relief is given against any property income profits for that given year.
It appears in your case that a large enough profit was not made during the 2022/2023 tax year to use said relief against, for example a loss has been made.
I would advise that you would have to carry forward the unused finance costs to a future year.
The following link gives further information when no tax reduction will be given or it is reduced.
Tax relief for residential landlords: how it's worked out
If you think your calculation should have included a tax reduction in respect of your finance charges then please phone us to discuss.
Self Assessment: general enquiries

Can I claim the amount or a proportion of the interest on my help to buy loan (as I have permission to let out my help to buy property).

Hi, 
You can claim relief, see - Work out your rental income when you let property Allowable expenses
Thank you.

I am in the same situation as the original poster. I have some mortgage interest to claim as residential property finance costs, but there is insufficient profit for the costs to be used for tax relief (as shown in the fill tax calculation). How do I carry forward the unused financial costs to a future year; what box or section do I enter the costs in to be carried forward? Thanks

Hi,
There is no box for you to enter the unused finacial costs. You will need to keep a record of these and enter them in box 45 of your return for the following year to use these against any future profit.
Thank you.

Hi there. With regard to the carry forward of unused financial costs to a future year please could you advise how many years you can carry forward please? Is it just the current year of unused financial costs or can you do multiple where you have had 2 years of losses? In a 2425 return I assume you would include in box 45 the previously unused financial costs for 2324 (& previously if more than 1 year c/f is allowed).? Many thanks in advance.

Hi,
Property rental losses are carried forward year-on-year until fully utilised:
PIM4210 
The general rule is that any rental loss is automatically carried forward and set off against rental profits of the following year.
Except in the limited circumstances in which they can be set against general income of the same year, property losses can only be carried forward against profits of the same property and can’t be carried forward to use against general income in any later year.
Thankyou.

Not HMRC...that wasnt the question, it wasnt about property losses but was about unused finance costs...in asnswer, unused finance costs are carried forward indefinitely until used in full...if cumulative you keep adding, entering in box, and carrying forward difference until used some/all

Hi Clive, thanks for your input, I was going to repost my question! I will document cumulative unused financing costs in my 2425 return when I should have a net profit against which to claim this relief. Thanks again