Do you have to report UK property income to HMRC?

If you are earning income from a property let which results in you making a profit, you must let HMRC know. You should let HMRC know before 5th October following the tax year that the property income arose in. For example, if you started letting your property between 6th April 2023 and 5th April 2024 you should let HMRC know before 5th October. Notifying HMRC is not the same as filing a tax return, you need to register for self-assessment. 

Whether you need to report this income will depend on the amount you earn. Periodical lets that don’t exceed £1,000 in a year could be covered by the property allowance of £1,000, therefore there would be no profit. 

If your profit exceeds £2,500 after expenses, or £10,000 before expenses, then you will most likely be required to prepare a self-assessment tax return. 

If you have property income that you’ve not told HMRC about but should have, you can use the property let campaign which offers an opportunity to get up to date. 

If you would like to speak to an accountant about registering for self-assessment and reporting your property income, give our experienced team a call to arrange a free meeting. Call us on 01371 532 600 or use our online contact form and we will get in touch. 

Date published 30 May 2024

This article is intended to inform rather than advise and is based on legislation and practice at the time. Taxpayer’s circumstances do vary and if you feel that the information provided is beneficial it is important that you contact us before implementation. If you take, or do not take action as a result of reading this article, before receiving our written endorsement, we will accept no responsibility for any financial loss incurred.

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