📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

Are rental payments classed as self employed income?

Options
Hi I’m self employed. A counsellor. I also own a buy to let. Is the rental I receive classed as a landlord classed as s/e income? My work income is slowing due to Corona virus and it’s not as much as my rental income this year so wondering if I’ll fall through the cracks where potential help from Hmrc is concerned? Thanks in anticipation! 

Comments

  • byebyedebt
    byebyedebt Posts: 252 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    Rental income is classed as Income from Land and Property.  It is not self employed income.
  • ProDave
    ProDave Posts: 3,785 Forumite
    Seventh Anniversary 1,000 Posts Name Dropper Combo Breaker
    My understanding is you only get a grant for SE earnings if your SE is more than 50% of your total earnings.
    In the last tax year, 2019/20 my rental income slightly exceeded my SE income.  But averaged over the last 3 years, my SE earnings was over 50% of my total. So I am nervously waiting hoping to find that I qualify.
    I wonder if there is any appeal procedure if they deem you do not qualify?
  • calcotti
    calcotti Posts: 15,696 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    edited 23 April 2020 at 8:31AM
    ProDave said:
    My understanding is you only get a grant for SE earnings if your SE is more than 50% of your total earnings.
    In the last tax year, 2019/20 my rental income slightly exceeded my SE income.  But averaged over the last 3 years, my SE earnings was over 50% of my total. So I am nervously waiting hoping to find that I qualify.
    The 2019/2020 year is irrelevant. It’s not being looked at. Your SE income needs to be more than 50% of your income in either 2018-19 or averaged over the three years 2016-17, 2017-18 and 2018-19.
    https://www.gov.uk/guidance/claim-a-grant-through-the-coronavirus-covid-19-self-employment-income-support-scheme
    Information I post is for England unless otherwise stated. Some rules may be different in other parts of UK.
  • Hi i started a holiday let three years ago and gradually built it up. I gave up my part time employed job last year to concentrate on it . 
    its always been on my tax return as taxable income. However now cottages.com have let me know majority of my bookings have cancelled . so I only have £800 per month income from a rental property. I am struggling big time and worried to death. I have paid council tax on the holiday let the last 3 years amounting to 6K. so not rated for business rates.
    I seem to be unable to claim anything...... Any advice greatfully received. Been told from HMRC I dont qualify as not self employed.
    Thanks 
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 351.1K Banking & Borrowing
  • 253.2K Reduce Debt & Boost Income
  • 453.7K Spending & Discounts
  • 244.1K Work, Benefits & Business
  • 599.2K Mortgages, Homes & Bills
  • 177K Life & Family
  • 257.5K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.6K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.