HMRC Admin 21 Response

Hi,
Thank you for your question.  
Where the loan/mortgate is wholly and exclusively for the purchase of the property then the interest can be claimed as an expense.
You can find information at:  PIM1094 - Cash basis for landlords: receipts and expenses.
Thank you.

 Hi Lodd-Lon-tax Queries,
You cannot use the rent a room scheme when the accommodation is not part of your main residence.
The detailed guidance is here. You can define your main residence by referring this guidance:
PIM4001 - Rent-a-room: overview
The guidance on expenses is here:
Allowable expenses
Guidance on splitting expenses is here:
Expenses incurred wholly and exclusively for the property rental business
It centres around this principal “wholly and exclusively”.
 “Where only part of an expense is for your property rental business you can deduct that part as long as it’s wholly and exclusively for the property business”.  
You will need to figure out a fair way of doing this that will adhere to that principal. 
Thank you.

Hi,
Do you mean that the rental income is paid into your sons’ bank account?  
Do you pay your son a fee for managing those properties?
The bank account the rental income is paid into is irrelevant provided your property rentals are not run as a business.
Your son should declare any money that you pay him for running that business if it is more than £1000.  
Your son should also respond to the let property campaign by letting them know that the property income is your income & declared under your name.
Thank you.

Hi ABY,
The Property Income Manual and HS223 are very specific in that the rent a room scheme cannot apply where the room is let as office accommodation and there are no grey areas in either of those pieces of guidance.
 I have been through the online checker and as you rightly say it does not specifically state that it cannot be claimed for letting out a room as office accommodation.  However at the end of the checker it does provide a link to the rent a room guidance which further links to the HS223 which as I have stated is very specific in that it does not apply to rooms let as office accommodation.
The expectation would be that after you get to the final point in the checker where it says you do not need to tell us we would expect you to go one step further and check the link to the guidance.
If you think the guidance is unclear you could provide feedback on GOV.UK via the (Is this page useful?) link at the bottom of the relevant page.
Thank you.

Hi,
You are taxed on who legally owns the property not where the cash came from that bought it. If the property is 100% in your name then you will pay the tax on it.
Thank you.

Hi,
It does matter how the property is held.  You do have to be married or in a civil partnership to use a Form17.
A Form 17 declaration however cannot be made where a husband and wife or civil partners own property as beneficial joint tenants. In these circumstances the couple do not own the property in shares at all but are entitled jointly to the whole of both the property and the income.
This is distinct from the situation where the husband and wife or civil partners own property as beneficial tenants in common where they are each entitled to specific shares in the property and the income arising.  TSEM 9850 advises:
TSEM9850 - Property held jointly by married couples or civil partners: Form 17 rule - declaration must reflect reality.
Thank you.
 

Hi,
The distinction between a Corporation Tax return and an Estates and Trust return depends largely on whether HMRC views the fund as being held by the company in trust or as part of its income. For a flat management company, the position is often:
• Corporation Tax Return is filed for interest income, since HMRC usually considers the company liable for tax on interest earned in the company’s name.
• Trust Status may not be necessary if the company’s primary role is managing service charges, but it’s important to check with our Trust and Estates team, who may have specific requirements based on the setup of your accounts.
Please contact HMRC's Trust and Estates team on 0300 123 1072, or in writing to:
Trusts
BX9 1EL
United Kingdom
Thank you.

Hi,
In the UK, a contractor can use their registered address (the virtual address provided by the third-party service) on invoices. The UK does not require a separate business address on invoices if the registered address is already set up to handle official correspondence. 
The contractor can use the registered address they have with the third-party provider on invoices without needing an additional subscription for a separate virtual business address.
Thank you.

Hi,
You can submit the P85 either online or by post details at: Get your Income Tax right if you're leaving the UK (P85).
Thank you.