Joint ownership single landlord contract

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    Joint ownership single landlord contract

    We are married and have joint ownership of a couple of houses. Up u til now we have written our tenancy contracts as jointly named landlords. I now work self employed and now have a lower taxable income so want to know if i write our future contracts with me as the landlord only can i declare all of the rent income on my tax return to avoid my wife paying higher rate on it? Thanks

    Only one of joint owners needs to be named as Landlord. Tax is down to beneficial interest, form 17 etc. Not naming one doesn't get rid of their entitlement to income nor need to be taxed on it.
    I am legally unqualified: If you need to rely on advice check it with a suitable authority - eg a solicitor specialising in landlord/tenant law...


      The landlord is whoever is named as the landlord and they receive all of the income.

      The trick is that income follows beneficial income, not "income", so if your wife benefits from the income indirectly, she's still liable for the tax.
      It's quite possible for a husband and wife to have separate financial affairs, so it can be done - it just depends how it's set up.

      You should speak to an accountant to get the most HMRC sympathetic structure in place.

      A sensible approach might be to run the business via a trust (which can have its own tax return).
      When I post, I am expressing an opinion - feel free to disagree, I have been wrong before.
      Please don't act on my suggestions without checking with a grown-up (ideally some kind of expert).


        Beware the tax rates for discretionary trusts and accumulation trusts are 45%


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          by theartfullodger

          Well done HMRC..

          None of my business, and obviously not in anyway a criticism of anybody, but If I had had a friend who I found out had been fiddling tax for 16 years they'd no longer be my friend.
          18-09-2021, 11:46 AM
        • Let Property Campaign.
          by armour
          Hi all,

          A friend of mine has been renting out a flat since 2004 and has not declared any of the income to HMRC in all that time.

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          13-09-2021, 13:45 PM
        • Reply to Let Property Campaign.
          by armour
          Fair enough. Thanks for your advice. It is on cash basis.

          I guess it would only save her 50 odd quid anyway, maybe less than £80 once the fine and interest is added. I guess she'll have to swallow that.
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          18-09-2021, 09:07 AM
        • Reply to Overseas Landlords
          by Santa Fe
          Boletus, thank you.
          17-09-2021, 18:37 PM
        • Overseas Landlords
          by Santa Fe
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        • Reply to Let Property Campaign.
          by jpkeates
          armour - Sorry, I don't know.
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          17-09-2021, 11:43 AM
        • Reply to Let Property Campaign.
          by armour
          Thanks JP, that's clear. I'll put the bathroom in with the income tax then. I guess it's much of a muchness anyway as the associated reduction in interest and fine will probably equal out.

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          by boletus
          You fill out this form requesting to have rental income without deduction of tax and pay it yourself;

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          The 10% was for furnishings, so built in stuff should be ok to claim.
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          by armour
          Seems pretty clear there JP. I'll go ahead and alter my calculations

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