HMRC Admin 19 Response

Hi,

The following guidance states that a married couple or civil partners who have separated would not be subject to the 50/50 rule, as it applies only to couples living together (TSEM9810). They will be taxed on their actual entitlement in any event, and so cannot make a form 17 declaration.

TSEM9844 - Property held jointly by married couples or civil partners: Form 17 rule: Who can make a declaration?

You can also see guidance on ownership and Income Tax here:
 
TSEM9330 - Ownership and income tax: introduction: income tax principles - joint ownership

Please also see the following guidance which states that if you own a property jointly with another person who is not your spouse or civil partner your share of the rental profits or losses will usually be based on the share of the property you own, unless you agree a different allocation.

Work out your rental income when you let property

Thank you.

Hi,

When completing a declaration of trust, rental income may be assigned to a second party, in this case to your wife and would be sufficient to do so.

You can see guidance on this matter here:

TSEM9150 - Ownership and income tax: legal background: ownership: legal and beneficial ownership - separation

TSEM9520 - Ownership and income tax: express trusts - written declaration

Any rental income received by your wife is treated as hers for Income Tax purposes.

Thank you.

Hi,

As advised, unmarried partners who own a property can agree to a different split of any profit, and, or loss.
Married couples are treated differently as it is automatically set at 50/50 unless they declare, using a Form 17 declaration, that the income is an unequal split. You and you partner are not married. Therefore, no formal agreement is required, and you can declare no profit whilst your partner declares 100%.

Thank you.

Hi,

You can see guidance here:

TSEM9160 - Ownership and income tax: legal background: ownership - income follows property

TSEM9170 - Ownership and income tax: legal background: ownership income follows property - variation

You can retain ownership of the property whilst transferring the beneficial interest to your wife. She will become entitled to her share of the rental income and will need to declare this to us. Guidance on how to make a declaration can be found here:

TSEM9520 - Ownership and income tax: express trusts - written declaration

Thank you.

Hi,

Where the property is jointly owned other than by a husband and wife you can split the income on any basis that you choose without any formal agreement being required.

Thank you.

Hi,

The declaration of trust will satisfy HMRC to show how you wish the allocate your rental profits to your partner.  You will need to also complete a Form 17 indicating the unequal share of this rental income to your partner. You can see guidance here:

Declare beneficial interests in joint property and income

Thank you

Hi,

We cannot confirm an individuals residence position as this is something you will need to work out for yourself after looking at the guidance:

RDR3 Statutory Residence Test

If you wish to have someone work this out for you, you will need to seek the advice of a professional, such as an accountant.  

Thank you

Hi,

US government bonds, sometimes known as T-bills or treasury bills are generally taxed as income rather than capital gains. Where they are disposed of before maturity, any difference between the price at which they were issued at and the price received on their disposal, will generate a gain or a loss.

On a foreign investment the income is the difference between the purchase and redemption price after each has been converted to sterling on the day the transactions took place, so includes any foreign exchange gains. Losses cannot be deducted. 

UK gains from deeply discounted securities are entered at SA101 box 3 and foreign gains from deeply discounted securities at box 41 of SA106 and then claim Foreign Tax Credit Relief at box 2.

You can see guidance here:

SAIM3010 - Deeply discounted securities

Thank you.

Hi,

You can see guidance here:

Check if you’ve gone above the money purchase annual allowance

Thank you.