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Posted Tue, 08 Oct 2024 23:59:02 GMT by Mariana Calderon
My husband and I are both UK citizens and are going on sabbatical to live in Mexico from the end of December to mid-August. He will be staying for just over 6 months and I will be staying for 7 and a half months. We will not be working at all during this period. We want to rent our house and this will be the only income that we will receive during this period. Do we need to tell HMRC? What are the tax implications for this? We also receive child tax benefit at the moment. How does that fit into all of it? I was told by the estate agent that we could fill in a NLR1 form so that we don't have to pay tax on the income from the property. I just want to make sure I have an accurate picture of our liabilities and that we fill in what is appropriate in these circumstances.
Posted Wed, 16 Oct 2024 08:49:56 GMT by HMRC Admin 21 Response
Hi,
Thank you for your question.
You need to pay tax on your rental income if you are non-resident and rent out a property in the UK.  
If you live abroad for 6 months or more you are classed as a non-resident landlord by HMRC.
Please refer to: Tax on your UK income if you live abroad/rent which tells you how you pay tax, to get your rent paid without tax deducted you can complete a Form NRL1 Apply as an individual to receive UK rental income without UK tax deducted
You will also need to complete a Self Assessment tax return to declare your rental income.
For child benefit queries please refer to Child Benefit: general enquiries.
Thank you.

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