This site uses cookies. By continuing to browse the site you are agreeing to our use of cookies. To find out more about cookies on this website and how to delete cookies, see our privacy notice.
Analytics

Tools which collect anonymous data to enable us to see how visitors use our site and how it performs. We use this to improve our products, services and user experience.

Marketing

A bit of data which remembers the affiliate who forwarded a user to our site and recognises orders from those who become customers through that affiliate.

Essential

Tools that enable essential services and functionality, including identity verification, service continuity and site security.

Enrol now on the free landlord tax strategies course


To enrol in the 7 tax saving strategies email course complete the form below. The first module will be emailed to you immediately.

Enrol now on the free landlord tax strategies course

Thank You!

Free Tax Saving Strategies Course
The seven FREE property tax busting strategies course reveals the secrets of how to legitimately beat the taxman and boost your property profits!
View All Questions

Can I Receive Gross Rental Income from Property Agent?

Question I wish to rent my apartment for a period of one year while I rent near to my friends in Spain.  I am told by the property agent that they will deduct the full amount of tax (as I am a taxpayer) from the gross rental income they pay me on a month by month basis. I do not wish them to do this because of the following reasons:-

a. I pay a considerable amount of management fees and ground rent, boiler maintenance and other expenses which I feel should be offset against tax.

b. As they will only take my property on an unfurnished basis I will also have considerable expenses storing my furniture. I am treating this whole escapade as an elongated holiday and in fact will be leaving all bank accounts and my personal business in the hands of my son.  I only intend to take pocket money with me. It would be better if I could just do a tax return at the normal time when I know what other expenses I may incur as a result of letting my property. Could you please advise me on all these matters? Also, I am a pensioner - don't know if this makes any difference!

Arthur Weller Replies:
I would advise you to apply under the 'Non-resident landlord scheme' - download the 'NRL1' from HMRC website. If accepted by HMRC, it will enable you to receive your rental income gross (without the deduction of basic rate income tax) from your tenant / agent. You will still need to complete a UK self assessment tax return at the end of the year, but on it you can claim all the allowable expense you want to claim and only pay tax on the net amount

Property Tax Insider This sample question and answer is taken from Property Tax Insider, a monthly UK tax saving magazine for landlords and property investors.

The first issue is free so click here to try today!

Got a burning tax question?

Why not submit a tax question to our tax advisors

Ask a Question