Claiming the £1k property allowance on my SA return

dllive
dllive Posts: 1,205
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Hi,

I earn income from a property rental. My expenses for 22/23 have been £300. Because this is less than the £1k property allowance, do I need to enter the £300 in the property section of my tax return? 

If I do enter the £300 expenses, because its less than £1k, will HMRC automatically reduce my rental income by £1k?

Thanks


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  • [Deleted User]
    [Deleted User] Posts: 0
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    edited 14 October 2023 at 1:38PM
    In the first box you enter the total income from the property. 

    In the second box you enter the property allowance of 1000 if you prefer to claim it as opposed to actual expenses.

    No other entries are required and you will have a £1000 deduction.

    Boxes 20 and 20.1 in attached link. 

  • If I do enter the £300 expenses, because its less than £1k, will HMRC automatically reduce my rental income by £1k?
    No.  It is your choice as to whether you wish to claim the actual expenses or the property allowance.


  • DigSunPap
    DigSunPap Posts: 375
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    No, if your property rental income is under £1,000 and your allowable expenses for 2022-2023 are £300, you don't need to report them on your tax return.
  • DigSunPap said:
    No, if your property rental income is under £1,000 and your allowable expenses for 2022-2023 are £300, you don't need to report them on your tax return.
    What 😳.

    That is completely wrong.
  • DigSunPap said:
    No, if your property rental income is under £1,000 and your allowable expenses for 2022-2023 are £300, you don't need to report them on your tax return.
    What 😳.

    That is completely wrong.
    It's a bot. 

    Please report them under the 'technical disruption' or 'spam' or 'non moneysaving' with an explanation of why the post is wrong so the forum team can remove it.  (If we're not specific then the posts stay up.  Which isn't too much of a problem when it's benign, generic, not-helpful 'advice', but is a problem if they're posting just plain wrong info that would confuse or misdirect people.)
  • Jeremy535897
    Jeremy535897 Posts: 10,373
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    The post is pointless, because OP has said nowhere how much property income they have. For completeness:
    1. Property income £1,000 or less, no need to declare, but you might want to if actual expenses exceed income, to claim a loss to carry forward (the property allowance cannot create a loss). See https://www.gov.uk/guidance/tax-free-allowances-on-property-and-trading-income
    2. Property income over £1,000, you claim the higher of actual allowable expenses, or the property allowance of £1,000, not both.
  • The post is pointless, because OP has said nowhere how much property income they have. For completeness:
    1. Property income £1,000 or less, no need to declare, but you might want to if actual expenses exceed income, to claim a loss to carry forward (the property allowance cannot create a loss). See https://www.gov.uk/guidance/tax-free-allowances-on-property-and-trading-income
    2. Property income over £1,000, you claim the higher of actual allowable expenses, or the property allowance of £1,000, not both.
    Joined today at 2.04 pm and has 25 posts on numerous forums already. Probably says all we need to know.
  • DigSunPap said:
    No, if your property rental income is under £1,000 and your allowable expenses for 2022-2023 are £300, you don't need to report them on your tax return.
    What 😳.

    That is completely wrong.
    It's a bot. 

    Please report them under the 'technical disruption' or 'spam' or 'non moneysaving' with an explanation of why the post is wrong so the forum team can remove it.  (If we're not specific then the posts stay up.  Which isn't too much of a problem when it's benign, generic, not-helpful 'advice', but is a problem if they're posting just plain wrong info that would confuse or misdirect people.)
    Hi, there is no need to so that just because I may have given some incorrect information? I am most certainly not a bot, I apologise if i have given out wrong information but I was sure that you did not need to report them on your tax return, but clearly I am mistaken.

    Instead of reporting me for being something that I am not, I would much rather prefer to be educated as to why I am wrong. Having read through the thread I still find that there is no definite answer. Again, apologies for misinforming.
  • Jeremy535897
    Jeremy535897 Posts: 10,373
    First Post First Anniversary Name Dropper
    Forumite
    DigSunPap said:
    DigSunPap said:
    No, if your property rental income is under £1,000 and your allowable expenses for 2022-2023 are £300, you don't need to report them on your tax return.
    What 😳.

    That is completely wrong.
    It's a bot. 

    Please report them under the 'technical disruption' or 'spam' or 'non moneysaving' with an explanation of why the post is wrong so the forum team can remove it.  (If we're not specific then the posts stay up.  Which isn't too much of a problem when it's benign, generic, not-helpful 'advice', but is a problem if they're posting just plain wrong info that would confuse or misdirect people.)
    Hi, there is no need to so that just because I may have given some incorrect information? I am most certainly not a bot, I apologise if i have given out wrong information but I was sure that you did not need to report them on your tax return, but clearly I am mistaken.

    Instead of reporting me for being something that I am not, I would much rather prefer to be educated as to why I am wrong. Having read through the thread I still find that there is no definite answer. Again, apologies for misinforming.
    Your post was correct in what it said, but as we weren't told what the rental income was, your post, in assuming it to be under £1,000, may not have been relevant. Read my earlier post for the full rules.
  • DigSunPap said:
    DigSunPap said:
    No, if your property rental income is under £1,000 and your allowable expenses for 2022-2023 are £300, you don't need to report them on your tax return.
    What 😳.

    That is completely wrong.
    It's a bot. 

    Please report them under the 'technical disruption' or 'spam' or 'non moneysaving' with an explanation of why the post is wrong so the forum team can remove it.  (If we're not specific then the posts stay up.  Which isn't too much of a problem when it's benign, generic, not-helpful 'advice', but is a problem if they're posting just plain wrong info that would confuse or misdirect people.)
    Hi, there is no need to so that just because I may have given some incorrect information? I am most certainly not a bot, I apologise if i have given out wrong information but I was sure that you did not need to report them on your tax return, but clearly I am mistaken.

    Instead of reporting me for being something that I am not, I would much rather prefer to be educated as to why I am wrong. Having read through the thread I still find that there is no definite answer. Again, apologies for misinforming.
    Your post was correct in what it said, but as we weren't told what the rental income was, your post, in assuming it to be under £1,000, may not have been relevant. Read my earlier post for the full rules.
    Ok that's a fair point, it was wrong for me to assume I just jumped because my rental income is around that figure. Apologies for the confusion.
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