HMRC Admin 19 Response
-
RE: Oversea property rental income
Hi,
As you are not in receipt of any rental income from your overseas rental property, Self Assessment tax returns would not be required. If this changes, then returns would need to be submitted. We would advise you to complete a legal declaration deed/trust and have witnesses sign the document. You can see guidance here:
PIM4702 - Rent from property outside the UK: Income Tax (IT)
Thank you. -
RE: Declaration of trust
Hi,
In the case of a parental bare trust, the 50% share your daughter receives would be declared by yourself/ your wife as you would be the trustees of the trust, declaring the income and paying any Income Tax due. You can see guidance here:
Parental trusts for children
Thank you. -
RE: Historical Rental Finance Tax Credit
Hi,
You can go back 4 years. For example, to claim for 2021 to 2022, the claim must be received on or before 5 April 2026.
Thank you. -
RE: Water damage
Hi,
The expenditure incurred during the year of deduction is set against the profit for that year, even if an invoice was submitted later, this is cash basis. However, as the insurance company has paid in full, covering the property damage, you cannot claim for the repairs in your accounts. This makes no difference whether the tradesman completed the work within the year the property was damaged.
Thank you. -
RE: Irish Resident
Hi,
You are required to file a UK tax return to declare your UK property income, even though you are not a resident of the UK. You can see guidance here:
Tax on your UK income if you live abroad
Thank you. -
RE: Transfer of 50% ownership to spouse
Hi,
This forum is for general queries only and is intended to help you self-serve. We are unable to provide specific advice tailored to individual circumstances, nor are we able to offer any financial advice.
You may wish to seek professional advice.
Thank you. -
RE: Deed of Assignment – Income and Expense Responsibilities
Hi,
To register a beneficial interest in a rental property, you must prepare a Deed of Trust, not a Deed of Assignment.- It is entirely up to the individuals how the accounts are set up, providing that each beneficial owner declares the profit in accordance with the split as noted in the Deed of Trust. A spouse must be a beneficial owner of the property and a deed drawn up to show she is a beneficial owner of the property. Husbands and wife’s must also complete a form 17 and a Deed of Trust relevant to the percentage split of the property income.
- Repairs are to be split again in accordance with Deed of Trust 50-50, 60-40 and so on.
- The financial residential costs, if paid by one individual, then they are entitled to set the financial relief costs against their percentage of the income.
TSEM9220 - Ownership and income tax: legal background: joint ownership - tenants in common
TSEM9230 - Ownership and income tax: legal background: joint ownership - presumption of joint tenancy
TSEM9800 - Property held jointly by married couples or civil partners: contents
PIM1000 - Introduction
PIM2005 - Deductions: general rules: overview
Thank you.
-
RE: Declaration of Trust shared rental income
Hi,
In order for one party to denounce any rental income/ incurred expenses, a valid Declaration of Trust may be created clearly outlining beneficial interests of the rental property. You can see guidance here:
TSEM9520 - Ownership and income tax: express trusts - written declaration
We would advise you to make such declaration as soon as possible to ensure the correct split may be disclosed within the 2024 to 2025 tax return.
Thank you. -
RE: Bug: HMRC calculator for estimate-paye-take-home-pay giving wrong details for the Income Tax
Hi,
You can report the issue by clicking the "Is this page not working properly? (opens in new tab)" link at the bottom of the page.
Thank you. -
RE: Final Dilaps payment
Hi,
As per the information provided, we assume the payment referenced concerns the maintenance and repair obligations. If so, such payment would not be exempt from tax as it relates directly to the rental business and would be declared within the tax year the payment was received as income, with the subsequent repair costs declared within the usual way under allowable expenses if they meet the required criteria as revenue expenses as per the following guidance:
PIM2025 - Deductions: repairs: overview
Thank you.
