First Self Assessment

Kaz64_2

Hello all.
I work part time, and last May I bought a flat as a Buy to Let. In July I got a tenant in. My mortgage payments are about £65 less than the rent. So I am making a little bit of profit.

My question is, do I need to do a Tax self assessment, and does it have to be in by the end of this month? How do I find out what I can claim against? And do I need to register as self employed?

My thanks in advance for your help.

ceeforcat

You are not self employed but you need to tell HMRC of this source of income befor October 2009. Also you are making considerably more profit than you think as only the interest element of the mortgage is deducted from your rents in calculating profit.

Kaz64_2

Hello ceeforcat, and thanks.
So don't I need to do a self assessment?

Yes, I remember someone telling me about the interest part of the mortgage being deducted. Thanks again.

ceeforcat

The self assessment return due on 31st January 2009 is for the declaration of income for the period from 6th April 2007 to 5th April 2008. Your income did not start until July 2008 - so no, not this year but next year. Tell HMRC now and you will get the appropriate return in the main April issue.

Kaz64_2

Oh thank goodness for that!
Thank you ceeforcat. That is a load of weight off my shoulders.
Will get on and tell the HMRC asap.