Self assesment: boosting my annual income temporarily this tax year

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    Self assesment: boosting my annual income temporarily this tax year

    I receive rental income from a few properties owned by my wife and I.

    Up until now, we split the income 50% each. This year however, I want to increase my annual income - effectively redirecting some of my wife's income to myself.

    The net tax effect should be nill (for what it's worth, we are both below the 40% tax threshold)

    My question then, is how do I do this? Two options I can think of are:

    1. Invoicing my wife for some work I've done (typically, I manage all the properties anyway)
    2. Taking the money as a loan from my wife (but I don't think a loan counts as income).

    Can anyone with some experience with this profer any view on the legal way to do this?

    PS: The 31st January deadline for submission is looming ever closer

    #2
    You can't really do anything retrospectively,
    You can change the amounts you receive for tax purposes going forward with a deed of trust and Form 17 (details easily googled).

    Neither of the two options you suggest would survive investigation by HMRC (although that's not too likely).
    And the second option doesn't really work at all - an interest bearing loan between a married couple would be very odd.
    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).

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