HI all,
Apologies first of all as this has turned out to be a long post...
I have a question regarding declaring 'foreign rental income' on the Online self assessment tax return.
I understand that i need to declare this in the 'Tailor your return' section.
However it is unclear to me, what options (yes/no) I should select in point 05 and 06
My current situation for the 2023-2024 tax year is that my portion of foreign rental income is Less than £1,000. This is normal house, and nothing like a 'holiday let' etc.
I have tried playing around by selecting various combinations of YES/NO for point 5 and 6, and i think from trial and error and observing the values and tax due at the end of each combination, that i have the 'correct' answer, but I need to make sure with HMRC officers that I am submitting the correct information-options.
my confusion relates to the following points :
point 5 says :
Did you receive income from UK land and/or property (including income from foreign property) over £1,000? Please check help before selecting
so i guess i should select NO to this.
point 6 says,:
If you received any foreign income, do you need to complete the foreign section? Please check help before selecting
which i select YES,
if I select NO to point 5 and YES to point 6 , I am then given the chance to declare (from point 6) that i have foreign income and this foreign income is from RENT and i then of course give the details etc !
however, when i get the 'overview' of 'Check your return' the system says :
you did NOT receive income from property !!!!
which is not true, as i am stating this in the foreign section.
maybe this only relates to point 5 and UK rental income ???
this is so confusing.
If i declare YES to point 5, as it says UK rental income BUT in parenthesis it mentions (including income from foreign property)
and of course YES to point 6, then i am presented wiht UK renatl income for a UK property and foreign rental income, and the system then tries to calculate tax (i know this as it will only allow me to split the £1000 rental allowance between the 2 properties it thinks i now rent out !!! )
So to me this is wrong, as I do NOT have both a UK property i rent out , as well as a property abroad that i rent out !!!
So, is there anyone who can help me as to what I should choose for point 5 and point 6 in the Tailor your return section please ?
as mentioned, For tax year 2023-2024 my portion of foreign rental income was less than £1,000
and also, what would i choose (this is for next year as the property will be rented starting from this July onwards) for 2024-2025 that my portion of foreign rental income will be more than £1,000 ??
from what i have observed i should still say NO to point 5, and YES to point 6, stating that my foreign income is from Rent and declare the details then !!
Thanks,
George