Income Tax on rentals

JCR

I think I have stuck my head in the sand about this as it all seems so complicated, but I am currently renting out my property and wondered if anyone could advise me on the tax situation.

The mortgage interest only = £457.35
Insurance on the property = £27.94

Rental income = £500

Leaving me an income from the property of £14.71 which would go towards maintenance etc.

Is this amount considered an income and does it need to be declared.

Any thoughts would be appreciated.

neetugopal

You must declare rental income to HMRC even if you are in loss. You can carry forward losses to the next financial year.

You can also deduct other expenses like central heating breakdown cover, gas safety certificate payment, membership to landlords association, telephone bills with regard to your rental business etc. You can also claim 10% wear and tear allowance if your property is fully furnished.