Tax return help pleaseeeee

qwertyqwerty

Hi I am trying to file my tax return for 2012-2013 i am a complete newbie to this, so could do with some help.

Rented out my house from Feb 2013, Rental income of £550. Mortgage repayment of £530, Landlords insurance of £15 per month.

For the question "Total rents and other income from property" I entered the sum of £1650 (cover three months, feb, mar, apr, is this correct?)

I don't have a clue how to answer the following for entering income of property section:

Tax taken off total rents and income from property? (I thought this would be 0, but it says must be greater than 0)

Premiums for the grant of a lease?

Reverse premiums and inducements?

purdyoaten

qwertyqwerty wrote: »

Hi I am trying to file my tax return for 2012-2013 i am a complete newbie to this, so could do with some help.

Rented out my house from Feb 2013, Rental income of £550. Mortgage repayment of £530, Landlords insurance of £15 per month.

For the question "Total rents and other income from property" I entered the sum of £1650 (cover three months, feb, mar, apr, is this correct?)

I don't have a clue how to answer the following for entering income of property section:

Tax taken off total rents and income from property? (I thought this would be 0, but it says must be greater than 0)

Premiums for the grant of a lease?

Reverse premiums and inducements?

1) enter the rent received from commencement and before 6th April 2013.

2) Only the mortgage interest should be deducted - not the repayment.

3)Leave the 'tax taken off...' box blank.

00ec25

those questions refer only to income received so as said above your total income is rent received up to and incl 5 April 2013
tax taken off relates specifically to the (overseas) non resident LL scheme, you would appear to be resident in the UK so it is not relevant and can be left blank

in calculating your net profit you will have incurred other costs besides the mortgage interest (the capital repayment element is not allowable), eg:
- Landlords gas safety certificate
- insurance

qwertyqwerty

Hi thanks for the replies. I think I have messed this up as somehow it is saying I owe £1020. So this is what I done:

Income:
total rents: £1650 (3 months, feb, mar, apr)
Tax taken off: blank

Expenses:
insurance: £35 (for the three months)
loan interest and other financial costs: £1590 (interest only repayment on the mortgage for the three months)

Taxable profit for the year is showing as: £25

Not sure if it is my employment details, or my student loan details that I have filled incorrectly, would this matter for property tax? Helppp

p.s. when it asks for student loan contribution i put down the three months only from when I started renting out property, is this right?

Thanks

dori2o

qwertyqwerty wrote: »

Hi thanks for the replies. I think I have messed this up as somehow it is saying I owe £1020. So this is what I done:

Income:
total rents: £1650 (3 months, feb, mar, apr)
Tax taken off: blank

Expenses:
insurance: £35 (for the three months)
loan interest and other financial costs: £1590 (interest only repayment on the mortgage for the three months)

Taxable profit for the year is showing as: £25

Not sure if it is my employment details, or my student loan details that I have filled incorrectly, would this matter for property tax? Helppp

p.s. when it asks for student loan contribution i put down the three months only from when I started renting out property, is this right?

Thanks

No, you show the total amount of Student loan repayment made, and the total pay received and tax paid from employment for the whole year.

The fact you rented the property for only 3 months of the year means nothing in terms of the tax calculation itself, it just means you are only showing 3 months income/expenses for the UK Property section of the form.

blastarhymes

One more thing to consider is if the property is rented out furnished or not ? can claim a writing down allowance if it is ?!

smo59

Reading this post, I realized that I have not understood an answer to my own questions at https://forums.moneysavingexpert.com/discussion/4893398 but thought that I would re-assert the question here as it is also relevant to the OP.

I asked if "do I declare the rental income down to the nearest day" i.e.

rental price per day * number of days between April 5th 2013 and start of rental (which would be £975)


Initially I read the answer as "yes", but now when I re-read the answer in light of this post, it looks like I should be declaring:

monthly rent * number of full months between April 5th 2013 and start of rental (which would be £1275)

I'm a bit confused about which is correct and would be grateful for a clarification.

Thanks,

SteveO.

00ec25

smo59 wrote: »

I'm a bit confused about which is correct and would be grateful for a clarification.

as I said in your other post it is calculated in exact days

http://www.hmrc.gov.uk/manuals/pimmanual/pim1101.htm

MoneySavingMission

you'll need to show full student loans etc over the course of the tax year.