HMRC Admin 21 Response

Hi, 
Please have a look at the Self Assessment guidance notes at:
Foreign notes Tax year 6 April 2023 to 5 April 2024 (2023–24), for boxes 43 to 45.  
You can also find HS321 at:
 HS321 Gains on foreign life insurance policies (2024)
Thank you.

Hi,
As this is an overseas property, you are not tied to the 60 day rule, however, you do have to report the disposal in a Self Assessment tax return on SA108 (Capital Gain) and SA106 (foreign) supplementary pages:
(Self Assessment tax return forms).
You will need to work out if there is a Capital Gain, using UK rules.  
There is a calculator at: Tax when you sell property to help you do this and guidance on private residence relief can be found at HS283:
 HS283 Private Residence Relief (2024).  
 You will need to work out if there is a Capital Gain, using UK rules.  
There is a calculator at: Tax when you sell property to help you do this and guidance on private residence relief can be found at:
 HS283 Private Residence Relief (2024).  
You will need to convert all of your costs and disposal values into GBP sterling using an exchange rate in use at the time.  
Under the terms of Self Assessment, we do not provide an official exchange rate and the onus is on the individual to use a just and reasonable exchange rate for each acquisition and disposal.  For your convenience, there are exchange rates at:
 https://webarchive.nationalarchives.gov.uk/ukgwa/20231016190054/Exchange rates from HMRC in CSV and XML format and for older rates at https://webarchive.nationalarchives.gov.uk/ukgwa/20100202113554/Exchange rates from HMRC in CSV and XML format.
You are free to use any of the supplied rates or one of your own choosing.
Thank you.

Hi Cloudy72,
Please refer to:
Expenses if you're self-employed and
Claim capital allowances.
Thank you.

Hi sb3502,
This will be within the legislation for the:
Taxes Management Act 1970 - https://www.legislation.gov.uk/ukpga/1970/9/contents. 
Thank you.

Hi,
Apologies, you may have tried to contact us at a time when our phoneline was temporarily unavailable.
To discuss your record, contact us by webchat via: Self Assessment: general enquiries- just click ' chat with HMRC Online'.
Alternatively, call 0300 200 3310 - the line is usually open 8am to 6pm.
Thank you.

Hi Danielle,
Yes, you are correct that you can claim losses from Self-Employment against your general income along as you are self-employed as a trade not as a hobby.  
You cannot use losses from property income against your general income.  
The guidance is here:
PIM4210 - Losses: setting losses against future profits.
HS227 Losses (2022).
Thank you.

Hi Clare,
Thanks for your question.
Unfortunately, you would have to complete two separate Tax Returns covering the periods 6th April 2023 to 5th April 2024, then a partial year Return up to the closing of your rental business in August.
Also, you would not be able to offset such losses against a previous year, only against a future year or against general income for that year, as per PIM4205 attached:
PIM4205 - Losses: overview.
Thank you.

Hi Belasting,
Thanks for your question.
If you have received income from REITs, I would advise to declare these within Box 17 of the SA100 Tax Return, page TR3.
Thank you.

Hi aaron123,
Thank you for your question.
I would expect that when completing the SA106 Foreign supplementary page that you may claim accountant fees under Allowable property expenses if the cost has been exclusively for the benefit of the rental business.
Thank you.

Hi,
Thank you for your question.
No documentation is requried to be sent to HMRC, however, I would suggest completing a Declaration of Trust for the specified split for rental income/expenses. In terms of the date the split begins, I would advise to keep a record of the date the two parties changed the split for any future queries such as Capital Gains etc.
As a result of the split, there would be no Capital Gains tax arising, and Land Registry would only need to be notified if a Deed of Trust is completed as legal title would be transferred in this instance.
Thank you.