Taxation

Income tax is payable on profit arising from letting. Profit is assessed by deducting allowable expenses from the rent received and personal allowances.

It is the Landlords responsibility to declare the rental income in their annual tax return under the rules of self-assessment. If in doubt please contact your Tax office or Accountant.

If you are outside the UK for 6 months or longer you may be classed as a Non Resident Landlord (NRL) and the agent must by law deduct basic rate tax on the balance of your rent unless you are exempt. DON’T PANIC ! - We have a high percentage of our landlords who are abroad and most are exempt from this tax but you must apply for an exemption certificate. Stanley & Partners have the appropriate Inland Revenue forms to apply or they are available from the Inland Revenue direct or they may be obtained online from the Inland Revenue.

This is separate to VAT which is payable only on the commission charge, not the rent.