HMRC Admin 21 Response

Hi Bethan,
Hi.If your accountant backdates your registration then you will be liable to account for VAT from that date.
You will also be able to reclaim input tax on goods/services from date that and prior to VAT registration subject to the criteria below:
11. Input tax when VAT paid on goods and services received before VAT registration
Thank you.

Hi Matt,
Hi.You don't have to inform us that you will be using the limited cost trader sector.
Your default sector and 12% will remain the same but if you have to use the 16.5% on a particular period then you calculate it on that basis but you don't need to inform us.
Please see the guidance below:
4. Determining your flat rate percentage
tHANK YOU.

Hi
Yes all these point are correct.
If you belong in the UK and you sell goods under the VAT threshold then you are not required to register for VAT.
This would be the situation if you were based overseas as there is no Registration threshold for oversees businesses.
Thank you.

Hi samuelkfp2000,
Thank you for your question.  For further information about expenses and where to include them on your return, please refer to the UK property notes help sheet, which can be found on our website at Self Assessment: UK property (SA105)
Thank you.

Hi VJ01,
Thank you for your question. Within 'Tailor your Return' you would select 'Yes' under 'income from UK Land and/or property' as you have stated. You would then need to go into 'Fill in your return' and under 'UK property' you would answer 'Yes' to the question 'Do you want to claim Rent a Room relief ?' and then 'Yes' to the next question if the rents you received were less than £7500 (or £3750 if it is a jointly onwned property).
Thank you.

Hi Confuseooi Ooi,
Thank you for your further question. You would not include any voluntary NI contribution within the UK property pages of  the tax return and you could not claim this as as an expense against your rental income.
Thank you.

Hi massi,
Thank you for your question. I would advise you that you will not be able to  claim any Foreign Tax Credit Relief (FTCR) as the actual UK tax due on your foreign rental income is NIL. You would therefore claim the FTCR as a deduction against the same foreign rental income. This will effectively give you a credit for the foreign tax paid and will also give you a larger loss to carry forward to the next tax year. Please refer to the helpsheet HS263 for further guidance : Relief for foreign Tax Paid 2022 (HS263)
Thank you.

Hi aquitaine137
Thank you for your question. As the property is jointly owned, you should both report your own 50% of the property income . HMRC will regard a jointly owned property at 50/50. However you can elect to have a different share Do do this you will need to complete a form 17 along with a legal declaration of trust. This must show the address anf the new beneficial split. It must be signed by both parties . I have attached a guidance link : Declare beneficial interests in joint property and income
Thank you.

Hi Laura,
Thank you for your question. Any property income under £1000 is tax free because it is covered by the property income allowance. This does not need to be reported. Income over £1000 is taxable. If the rental income is between £1000 and £2500 it can be reported through PAYE and you do not have to complete a self assessment return. Income over £2500 needs to be reported in a self assessment tax return. Please refer to the following guidance for more information : Work out your rental income when you let property
Thank you.

Hi Matthew,
Thank you for your question. I believe you are referring to the remittance basis found on help sheet HS264 Paying tax on the remittance basis (Self Assessment helpsheet HS264), which outlines the basic principles of the remittance basis. Without sight of both Tax Returns, I would be unable to advise in full as other circumstances have to be taken into consideration. I would advise to contact the Self-Assessment helpline on 0300 200 3310 as this forum offers general advice and is not catered to individual circumstances.
Thank you.