UK landlord tax questions, answered
165 questions landlords ask most, each with a short answer and a link to the full guide or calculator. Updated 10 November 2026.
Tax, rules and returns
When do the new property tax rates start?
On 6 April 2027, the start of the 2027/28 tax year. The first return affected is for 2027/28, due by 31 January 2029. Payments on account may rise sooner. More: Property Income Tax 2027: 24%, 44%, 49% Rates Explained →
Are the rates 22% or 24%?
24%, 44% and 49%. The 22%/42%/47% rates were announced in the 2025 Budget and replaced by the Budget of 28 October 2026. More: Property Income Tax 2027: 24%, 44%, 49% Rates Explained →
Do the new rates apply to commercial property?
Yes. They apply to all property income of individuals, residential and commercial. Section 24 only restricts finance costs on residential lets. More: Property Income Tax 2027: 24%, 44%, 49% Rates Explained →
Does Section 24 apply to limited companies?
No. Companies deduct interest in full against corporation tax. More: Section 24 Explained: Mortgage Interest Relief for UK Landlords →
Does Section 24 apply to commercial property?
No. It restricts finance costs on residential lettings only. More: Section 24 Explained: Mortgage Interest Relief for UK Landlords →
Do I still file a tax return under MTD?
Yes. It is filed through your MTD software by 31 January after the tax year, replacing the old Self Assessment return for that income. More: Making Tax Digital for Landlords 2026–2028: Complete Guide →
Are partnerships in MTD?
Not yet. The mandate covers sole traders and individual landlords. More: Making Tax Digital for Landlords 2026–2028: Complete Guide →
Can I claim for a new boiler?
Replacing a broken or old boiler with a modern equivalent is normally a repair. Adding central heating where there was none is an improvement. More: Allowable Expenses for Landlords UK: What You Can Claim →
Can I claim furniture for a new let?
Not the first purchase. Replacements like for like qualify under replacement of domestic items relief. More: Allowable Expenses for Landlords UK: What You Can Claim →
Is CGT going up in 2027?
The Budget of 28 October 2026 made no change. Rates stay at 18% and 24% with a £3,000 exemption. More: Capital Gains Tax When Selling a Rental Property (UK 2026/27) →
What if I miss the 60-day deadline?
HMRC charges late filing penalties and interest on late payment. More: Capital Gains Tax When Selling a Rental Property (UK 2026/27) →
Can we choose any split on Form 17?
No. It must reflect your actual beneficial interests in both the property and the income. More: Joint Ownership of Rental Property: 50:50 Rule and Form 17 →
Do I need to file if my rental profit is small?
If gross rent is £1,000 or less, the property allowance usually means no return is needed. Above that, or if HMRC asks, you must report it. More: Self Assessment Deadlines & Payments on Account for Landlords →
Can PAYE collect my rental tax?
Often yes, if you owe less than £3,000 and file online by 30 December. HMRC adjusts your tax code. More: Self Assessment Deadlines & Payments on Account for Landlords →
Do companies pay the new property income rates?
No. The 24%/44%/49% rates are income tax rates for individuals. Companies pay corporation tax. More: Limited Company vs Personal Name for Landlords in 2027 →
Can I just transfer my buy-to-let into a company?
You can, but it's treated as a sale at market value, usually with Stamp Duty and Capital Gains Tax due. Take professional advice first. More: Limited Company vs Personal Name for Landlords in 2027 →
Can I still claim capital allowances on my holiday let?
Not on new expenditure after the regime ended, but existing pools can generally continue. Replacements usually qualify for replacement of domestic items relief instead. More: Furnished Holiday Lets Tax After April 2025: What Changed →
Can I use Rent a Room for Airbnb in my home?
Yes, if you live there at the same time and the room is furnished. Letting the whole home while you're away doesn't qualify. More: Rent a Room Relief 2026/27: £7,500 Tax-Free Explained →
Do I lose my Personal Allowance if I live abroad?
Not always. UK nationals and residents of some countries keep it. Check GOV.UK for the eligibility rules. More: Non-Resident Landlord Scheme: UK Rent When You Live Abroad →
Is remortgage interest on a buy-to-let tax deductible?
If the money is used for the letting business, the interest qualifies for the Section 24 credit. If it's used privately, HMRC's July 2026 guidance means relief may be refused, so take advice. More: Can Landlords Claim Interest on a Remortgage? (2026 Update) →
Do I need a licence to be a landlord?
Not everywhere. HMOs need a licence, and some councils run selective licensing for all private lets. Check your council's website. More: How to Become a Landlord UK: Step-by-Step Checklist (2026) →
What is the fine for not having a gas safety certificate?
It's a criminal offence. Councils and the HSE can prosecute, and it can also affect your ability to regain possession. More: Landlord Legal Requirements Checklist England 2026 →
Do I need a CO alarm next to a gas cooker?
Gas cookers are excluded from the requirement, but fitting one is good practice. More: Landlord Legal Requirements Checklist England 2026 →
Can a first-time buyer get a buy-to-let mortgage?
Some lenders accept first-time buyers, usually with stricter criteria and a personal income requirement. More: Buy-to-Let Mortgages Explained (UK 2026): Deposits, ICR, Costs →
How much is Stamp Duty on a £100,000 buy-to-let?
£5,000 in England and Northern Ireland, including the 5% surcharge on each band. A non-UK resident pays £7,000. More: Inheriting a Rental Property UK: Tax & What to Do Next →
Is it cheaper to buy a £100,000 rental in Scotland or Wales?
On a £100,000 purchase, Scotland costs £8,000 (including £8,000 ADS) and Wales costs £5,000, against £5,000 in England. More: Inheriting a Rental Property UK: Tax & What to Do Next →
How much is Stamp Duty on a £125,000 buy-to-let?
£6,250 in England and Northern Ireland, including the 5% surcharge on each band. A non-UK resident pays £8,750. More: Inheriting a Rental Property UK: Tax & What to Do Next →
Is it cheaper to buy a £125,000 rental in Scotland or Wales?
On a £125,000 purchase, Scotland costs £10,000 (including £10,000 ADS) and Wales costs £6,250, against £6,250 in England. More: Inheriting a Rental Property UK: Tax & What to Do Next →
How much is Stamp Duty on a £150,000 buy-to-let?
£8,000 in England and Northern Ireland, including the 5% surcharge on each band. A non-UK resident pays £11,000. More: Inheriting a Rental Property UK: Tax & What to Do Next →
Is it cheaper to buy a £150,000 rental in Scotland or Wales?
On a £150,000 purchase, Scotland costs £12,100 (including £12,000 ADS) and Wales costs £7,500, against £8,000 in England. More: Inheriting a Rental Property UK: Tax & What to Do Next →
How much is Stamp Duty on a £175,000 buy-to-let?
£9,750 in England and Northern Ireland, including the 5% surcharge on each band. A non-UK resident pays £13,250. More: Inheriting a Rental Property UK: Tax & What to Do Next →
Is it cheaper to buy a £175,000 rental in Scotland or Wales?
On a £175,000 purchase, Scotland costs £14,600 (including £14,000 ADS) and Wales costs £8,750, against £9,750 in England. More: Inheriting a Rental Property UK: Tax & What to Do Next →
How much is Stamp Duty on a £200,000 buy-to-let?
£11,500 in England and Northern Ireland, including the 5% surcharge on each band. A non-UK resident pays £15,500. More: Inheriting a Rental Property UK: Tax & What to Do Next →
Is it cheaper to buy a £200,000 rental in Scotland or Wales?
On a £200,000 purchase, Scotland costs £17,100 (including £16,000 ADS) and Wales costs £10,700, against £11,500 in England. More: Inheriting a Rental Property UK: Tax & What to Do Next →
How much is Stamp Duty on a £225,000 buy-to-let?
£13,250 in England and Northern Ireland, including the 5% surcharge on each band. A non-UK resident pays £17,750. More: Inheriting a Rental Property UK: Tax & What to Do Next →
Is it cheaper to buy a £225,000 rental in Scotland or Wales?
On a £225,000 purchase, Scotland costs £19,600 (including £18,000 ADS) and Wales costs £12,825, against £13,250 in England. More: Inheriting a Rental Property UK: Tax & What to Do Next →
Is it cheaper to buy a £250,000 rental in Scotland or Wales?
On a £250,000 purchase, Scotland costs £22,100 (including £20,000 ADS) and Wales costs £14,950, against £15,000 in England. More: Inheriting a Rental Property UK: Tax & What to Do Next →
How much is Stamp Duty on a £275,000 buy-to-let?
£17,500 in England and Northern Ireland, including the 5% surcharge on each band. A non-UK resident pays £23,000. More: Inheriting a Rental Property UK: Tax & What to Do Next →
Is it cheaper to buy a £275,000 rental in Scotland or Wales?
On a £275,000 purchase, Scotland costs £25,350 (including £22,000 ADS) and Wales costs £17,450, against £17,500 in England. More: Inheriting a Rental Property UK: Tax & What to Do Next →
How much is Stamp Duty on a £300,000 buy-to-let?
£20,000 in England and Northern Ireland, including the 5% surcharge on each band. A non-UK resident pays £26,000. More: Inheriting a Rental Property UK: Tax & What to Do Next →
Is it cheaper to buy a £300,000 rental in Scotland or Wales?
On a £300,000 purchase, Scotland costs £28,600 (including £24,000 ADS) and Wales costs £19,950, against £20,000 in England. More: Inheriting a Rental Property UK: Tax & What to Do Next →
How much is Stamp Duty on a £350,000 buy-to-let?
£25,000 in England and Northern Ireland, including the 5% surcharge on each band. A non-UK resident pays £32,000. More: Inheriting a Rental Property UK: Tax & What to Do Next →
Is it cheaper to buy a £350,000 rental in Scotland or Wales?
On a £350,000 purchase, Scotland costs £36,350 (including £28,000 ADS) and Wales costs £24,950, against £25,000 in England. More: Inheriting a Rental Property UK: Tax & What to Do Next →
How much is Stamp Duty on a £400,000 buy-to-let?
£30,000 in England and Northern Ireland, including the 5% surcharge on each band. A non-UK resident pays £38,000. More: Inheriting a Rental Property UK: Tax & What to Do Next →
Is it cheaper to buy a £400,000 rental in Scotland or Wales?
On a £400,000 purchase, Scotland costs £45,350 (including £32,000 ADS) and Wales costs £29,950, against £30,000 in England. More: Inheriting a Rental Property UK: Tax & What to Do Next →
How much is Stamp Duty on a £450,000 buy-to-let?
£35,000 in England and Northern Ireland, including the 5% surcharge on each band. A non-UK resident pays £44,000. More: Inheriting a Rental Property UK: Tax & What to Do Next →
Is it cheaper to buy a £450,000 rental in Scotland or Wales?
On a £450,000 purchase, Scotland costs £54,350 (including £36,000 ADS) and Wales costs £36,200, against £35,000 in England. More: Inheriting a Rental Property UK: Tax & What to Do Next →
How much is Stamp Duty on a £500,000 buy-to-let?
£40,000 in England and Northern Ireland, including the 5% surcharge on each band. A non-UK resident pays £50,000. More: Inheriting a Rental Property UK: Tax & What to Do Next →
Is it cheaper to buy a £500,000 rental in Scotland or Wales?
On a £500,000 purchase, Scotland costs £63,350 (including £40,000 ADS) and Wales costs £42,450, against £40,000 in England. More: Inheriting a Rental Property UK: Tax & What to Do Next →
How much is Stamp Duty on a £600,000 buy-to-let?
£50,000 in England and Northern Ireland, including the 5% surcharge on each band. A non-UK resident pays £62,000. More: Inheriting a Rental Property UK: Tax & What to Do Next →
Is it cheaper to buy a £600,000 rental in Scotland or Wales?
On a £600,000 purchase, Scotland costs £81,350 (including £48,000 ADS) and Wales costs £54,950, against £50,000 in England. More: Inheriting a Rental Property UK: Tax & What to Do Next →
How much is Stamp Duty on a £750,000 buy-to-let?
£65,000 in England and Northern Ireland, including the 5% surcharge on each band. A non-UK resident pays £80,000. More: Inheriting a Rental Property UK: Tax & What to Do Next →
Is it cheaper to buy a £750,000 rental in Scotland or Wales?
On a £750,000 purchase, Scotland costs £108,350 (including £60,000 ADS) and Wales costs £73,700, against £65,000 in England. More: Inheriting a Rental Property UK: Tax & What to Do Next →
How much is Stamp Duty on a £1,000,000 buy-to-let?
£93,750 in England and Northern Ireland, including the 5% surcharge on each band. A non-UK resident pays £113,750. More: Inheriting a Rental Property UK: Tax & What to Do Next →
Is it cheaper to buy a £1,000,000 rental in Scotland or Wales?
On a £1,000,000 purchase, Scotland costs £158,350 (including £80,000 ADS) and Wales costs £111,200, against £93,750 in England. More: Inheriting a Rental Property UK: Tax & What to Do Next →
What is the most effective way to reduce rental income tax?
For many higher-rate landlords, pension contributions and claiming every allowable expense make the biggest legal difference. Ownership changes between spouses can help where they reflect reality. More: How to Reduce Tax on Rental Income UK: 12 Legal Ways (2026) →
Can I deduct mortgage interest on a buy-to-let?
Not as an expense if you own it personally. You get a basic-rate tax credit instead, 20% now and 24% from April 2027. More: Can Landlords Claim Mortgage Interest? (UK 2026 Explained) →
Are mortgage capital repayments tax deductible?
No. Only the interest and finance fees qualify for relief. More: Can Landlords Claim Mortgage Interest? (UK 2026 Explained) →
Does rental income count for the Child Benefit charge?
Yes. Rental profit is part of adjusted net income, and because of Section 24 it's counted before mortgage interest. More: Rental Income and the Child Benefit Tax Charge (HICBC) 2026 →
Do pensioners pay tax on rental income?
Yes, if total income is above the £12,570 Personal Allowance. The full new State Pension uses nearly all of it, so most rental profit is taxable. More: Rental Income for Pensioners: Tax & the State Pension (2026/27) →
Do I need to fill in the SA105 for one rental property?
Yes, if your rental income is over £1,000 and you're in Self Assessment. One set of UK property pages covers all your UK lets. More: How to Fill In the SA105 Landlord Tax Return (Box by Box) →
Where do I put letting agent fees on my tax return?
Box 27, legal, management and other professional fees. Report rent in box 20 before the agent's fees were taken off. More: How to Fill In the SA105 Landlord Tax Return (Box by Box) →
Can I claim mortgage interest as an expense on my tax return?
Not for residential lets. Enter it in box 44 and HMRC gives a basic-rate credit instead: 20% up to 2026/27 and 24% from 2027/28. More: How to Fill In the SA105 Landlord Tax Return (Box by Box) →
What is box 36 on the SA105?
Costs of replacing domestic items, such as furniture, appliances and carpets, in residential lets. Only replacements count, not the first purchase. More: How to Fill In the SA105 Landlord Tax Return (Box by Box) →
Do landlords in Scotland have to register?
Yes. Every private landlord must register with the council for each area where they let a property. Registration lasts three years. More: Landlord Legal Requirements Checklist Scotland 2026 →
How long do Scottish landlords have to protect a deposit?
30 working days from the start of the tenancy, with one of the three approved schemes. The deposit can't be more than two months' rent. More: Landlord Legal Requirements Checklist Scotland 2026 →
Is PAT testing a legal requirement in Scotland?
Yes, for appliances provided by the landlord. Scottish Government guidance on the Repairing Standard covers checking them at least every five years. More: Landlord Legal Requirements Checklist Scotland 2026 →
What alarms does a rented home in Scotland need?
Interlinked smoke alarms in the living room and every hall and landing, a heat alarm in the kitchen, and carbon monoxide alarms where there's a fuel-burning appliance. More: Landlord Legal Requirements Checklist Scotland 2026 →
Do I need a Rent Smart Wales licence if I use a letting agent?
You must still register, but if a licensed agent does all the letting and management work, you don't need your own licence. More: Landlord Legal Requirements Checklist Wales 2026 →
How long do I have to give a written statement in Wales?
14 days from the occupation date. If it's late, the contract-holder can claim a day's rent for each day, up to two months' rent. More: Landlord Legal Requirements Checklist Wales 2026 →
Do smoke alarms have to be hard-wired in Wales?
Yes. Rented homes need mains-powered smoke alarms, interlinked, with at least one on every storey. Battery-only alarms don't meet the rule. More: Landlord Legal Requirements Checklist Wales 2026 →
What is the notice period for a no-fault eviction in Wales?
At least six months, and the notice can't be given in the first six months of occupation. More: Landlord Legal Requirements Checklist Wales 2026 →
Is a new combi boiler an improvement or a repair?
Usually a repair. Replacing an old boiler with the nearest modern equivalent counts as a repair, even though the new one is more efficient. More: Can Landlords Claim a New Boiler? UK Tax Rules →
Can I claim a boiler bought before the property was let?
Yes, if the property was already usable and it's a replacement. Costs in the 7 years before letting can count when the letting starts. More: Can Landlords Claim a New Boiler? UK Tax Rules →
Are new windows in a rental property tax deductible?
Yes, if they replace existing windows. New windows where none existed are capital. More: Can Landlords Claim Double Glazing? UK Tax Rules →
Does it matter that double glazing improves the EPC?
No. An improvement that comes only from using modern materials doesn't make a like-for-like replacement capital. More: Can Landlords Claim Double Glazing? UK Tax Rules →
Can landlords claim a new kitchen?
Yes for a like-for-like replacement. If you upgrade significantly, claim the cost of an equivalent kitchen and treat the extra as capital. More: Can Landlords Claim a New Kitchen? UK Tax Rules →
Are fitted appliances box 25 or box 36?
Appliances fitted into the kitchen are usually part of the repair (box 25). Free-standing ones, like a fridge, are domestic items (box 36). More: Can Landlords Claim a New Kitchen? UK Tax Rules →
Is a new bathroom in a buy-to-let tax deductible?
Yes, if it replaces an existing bathroom to a similar standard. More: Can Landlords Claim a New Bathroom? UK Tax Rules →
What about adding an en suite?
That's an improvement. It isn't deductible from rent but can reduce Capital Gains Tax on sale. More: Can Landlords Claim a New Bathroom? UK Tax Rules →
Can landlords claim for carpets?
Yes, when replacing existing carpets in a residential let. Claim in box 36. More: Can Landlords Claim New Carpets? UK Tax Rules →
What about laminate or wooden floors?
Fixed flooring is part of the building, so replacing it like for like is a repair (box 25), not box 36. More: Can Landlords Claim New Carpets? UK Tax Rules →
Can I claim furniture for a new rental property?
No. The first purchase isn't allowable. Only replacements qualify. More: Can Landlords Claim Furniture? UK Tax Rules →
Do I need a furnished let to claim?
No. Replacement relief applies to any residential let where you provide the item. More: Can Landlords Claim Furniture? UK Tax Rules →
Which box is a new fridge on the SA105?
Box 36, costs of replacing domestic items. More: Can Landlords Claim White Goods and Appliances? UK Tax Rules →
What about an integrated oven?
Fitted appliances are often treated as part of the kitchen, so a like-for-like replacement is a repair in box 25. More: Can Landlords Claim White Goods and Appliances? UK Tax Rules →
Is a landlord gas safety certificate tax deductible?
Yes, in full, every year. More: Can Landlords Claim Gas Safety Certificates? UK Tax Rules →
Which box do I use?
HMRC doesn't name one. Most landlords use box 29, or box 25 if done with a repair. Just don't claim it twice. More: Can Landlords Claim Gas Safety Certificates? UK Tax Rules →
Can I claim a full rewire?
A rewire that replaces old wiring like for like is generally a repair. Adding extra circuits or sockets is an improvement. More: Can Landlords Claim EICR? UK Tax Rules →
Can I claim smoke and CO alarms?
Yes. Fitting alarms required by law is generally accepted as a running cost. More: Can Landlords Claim EICR? UK Tax Rules →
Do I report rent before or after the agent's fee?
Before. Put the full rent in box 20 and the fees in box 27. More: Can Landlords Claim Letting Agent Fees? UK Tax Rules →
Are tenant-find fees allowable?
Yes. Fees for finding tenants and renewing tenancies are allowable letting costs. More: Can Landlords Claim Letting Agent Fees? UK Tax Rules →
Can landlords claim accountancy fees?
Yes, the part that relates to your property business. More: Can Landlords Claim Accountant Fees? UK Tax Rules →
Can I claim Making Tax Digital software?
Yes. Software for keeping property records and filing updates is an allowable cost. More: Can Landlords Claim Accountant Fees? UK Tax Rules →
Are eviction costs tax deductible?
Yes. Legal costs of evicting a tenant or recovering rent are allowable. More: Can Landlords Claim Legal Fees? UK Tax Rules →
Can I claim solicitor fees from buying the property?
Not against rent. They're added to the cost of the property for Capital Gains Tax. More: Can Landlords Claim Legal Fees? UK Tax Rules →
Can I deduct mortgage fees from rental income?
Not as an expense. Like interest, they're finance costs with a basic-rate credit, entered in box 44. More: Can Landlords Claim Mortgage Arrangement Fees? UK Tax Rules →
Can I claim the fee if it was added to the loan?
Yes, the fee is a finance cost when incurred; the interest on it is also a finance cost. More: Can Landlords Claim Mortgage Arrangement Fees? UK Tax Rules →
Is rent guarantee insurance tax deductible?
Yes. Payouts from it are taxable rental income. More: Can Landlords Claim Landlord Insurance? UK Tax Rules →
Is life insurance for the mortgage allowable?
No. Only insurance relating to the property and the letting is allowable. More: Can Landlords Claim Landlord Insurance? UK Tax Rules →
Can I claim council tax on an empty rental property?
Yes, while it's available to let between tenancies. More: Can Landlords Claim Council Tax and Utility Bills? UK Tax Rules →
If rent includes bills, are they deductible?
Yes. Include the full rent in box 20 and claim the bills you pay. More: Can Landlords Claim Council Tax and Utility Bills? UK Tax Rules →
Are sinking fund contributions allowable?
Usually only when the money is spent on repairs, not when it's paid into the fund. Ask your managing agent for a breakdown. More: Can Landlords Claim Service Charges and Ground Rent? UK Tax Rules →
Is a lease extension tax deductible?
No. It's a capital cost for Capital Gains Tax. More: Can Landlords Claim Service Charges and Ground Rent? UK Tax Rules →
What mileage rate can landlords claim?
45p a mile for the first 10,000 business miles and 25p after that, if you use simplified expenses. More: Can Landlords Claim Travel and Mileage? UK Tax Rules →
Can I claim travel to view properties to buy?
No. That's part of the capital cost of buying. More: Can Landlords Claim Travel and Mileage? UK Tax Rules →
Can landlords claim use of home as office?
Yes, a reasonable share of costs if you run the letting from home. Keep a note of how you worked it out. More: Can Landlords Claim Phone and Home Office Costs? UK Tax Rules →
Can I claim a laptop?
Not as a running cost. Equipment used for the business may qualify for capital allowances. More: Can Landlords Claim Phone and Home Office Costs? UK Tax Rules →
Can I claim my own time spent cleaning?
No. You can only claim money you actually spend. More: Can Landlords Claim Cleaning and Gardening? UK Tax Rules →
Can I claim cleaning if the tenant's deposit paid for it?
Include the amount kept from the deposit as income, then claim the cleaning cost. More: Can Landlords Claim Cleaning and Gardening? UK Tax Rules →
Is redecorating a rental property tax deductible?
Yes. Redecoration is maintenance. More: Can Landlords Claim Painting and Decorating? UK Tax Rules →
What if I decorate before the first tenant moves in?
Usually still allowable as a pre-letting expense, as long as the property was usable when you bought it. More: Can Landlords Claim Painting and Decorating? UK Tax Rules →
Is a new roof tax deductible for landlords?
Yes, if it replaces the old roof with modern equivalent materials. More: Can Landlords Claim Roof and Damp Repairs? UK Tax Rules →
What if I bought a run-down property?
If it couldn't be let until repaired and the price reflected that, the repairs are capital. More: Can Landlords Claim Roof and Damp Repairs? UK Tax Rules →
Can I claim refurbishment costs before renting out a property?
Yes, if they're repairs to a usable property. Work to make an unusable property fit to let is capital. More: Can Landlords Claim Renovations Before Letting? UK Tax Rules →
Which year do I claim them in?
Pre-letting costs from up to 7 years before are treated as paid on the day the letting starts. More: Can Landlords Claim Renovations Before Letting? UK Tax Rules →
Are tenant referencing fees tax deductible?
Yes. They're part of the cost of letting. More: Can Landlords Claim Tenant Referencing Fees? UK Tax Rules →
Can I claim landlord registration or licence fees?
Yes. Landlord registration, licensing and selective licensing fees are allowable. More: Can Landlords Claim Tenant Referencing Fees? UK Tax Rules →
Can I claim my whole mortgage payment as an expense?
No. Only the interest, and only as a basic-rate credit. More: Can Landlords Claim Mortgage Capital Repayments? UK Tax Rules →
Does this mean landlords pay tax on cash they don't have?
Often, yes. Profit can be higher than cash flow because capital repayments aren't deductible. More: Can Landlords Claim Mortgage Capital Repayments? UK Tax Rules →
Using the calculators
What are the property income tax rates from April 2027?
From 6 April 2027, rental profit of individual landlords in England, Wales and Northern Ireland is taxed at 24% (basic), 44% (higher) and 49% (additional). The 2025 Budget had set 22%, 42% and 47%. The Budget of 28 October 2026 added two more points. More: Landlord Tax Calculator 2027/28 (24%, 44%, 49% Rates) →
Does Section 24 relief go up too?
Yes. The finance cost credit follows the property basic rate, so it rises from 20% to 24% in 2027/28. Higher-rate landlords pay 44% on profit and get 24% back on interest. More: Landlord Tax Calculator 2027/28 (24%, 44%, 49% Rates) →
Do the tax bands change?
No. The Personal Allowance stays at £12,570, the higher rate starts at £50,270 and the additional rate at £125,140. All are frozen until April 2031. More: Landlord Tax Calculator 2027/28 (24%, 44%, 49% Rates) →
How is the Personal Allowance applied from 2027/28?
It is set against employment, pension and trading income first. Only what's left covers rental profit. If your other income is over £12,570, all your rental profit is taxed at the property rates. More: Landlord Tax Calculator 2027/28 (24%, 44%, 49% Rates) →
Does this work for Scotland?
No. Scottish taxpayers have their own bands and rates. This calculator covers England, Wales and Northern Ireland. More: Landlord Tax Calculator 2027/28 (24%, 44%, 49% Rates) →
What is Section 24?
Section 24 of the Finance (No. 2) Act 2015 stopped individual landlords from deducting residential mortgage interest. It was phased in from 2017 and fully applies from 2020/21. A basic-rate tax credit replaces it. More: Section 24 Calculator 2026/27 & 2027/28 →
Does Section 24 affect basic-rate taxpayers?
Usually only a little. If all your income stays in the basic band, the credit gives about the same result as a deduction. Your taxable profit is higher, though, so it can push you into the higher band. More: Section 24 Calculator 2026/27 & 2027/28 →
What if my interest is more than my profit?
The credit is limited to the lowest of your finance costs, your property profit and your income above the Personal Allowance. Unused costs carry forward. More: Section 24 Calculator 2026/27 & 2027/28 →
What is the CGT rate on property in 2026/27?
18% on the part of the gain within your basic rate band and 24% on the rest. These rates also apply in 2027/28, as the Budget of 28 October 2026 made no change. More: Capital Gains Tax on Rental Property Calculator 2026/27 →
When must I pay CGT on a property sale?
Within 60 days of completion, using HMRC's online Report and pay Capital Gains Tax on UK property service. Late reporting brings penalties and interest. More: Capital Gains Tax on Rental Property Calculator 2026/27 →
Do I pay CGT on my main home?
Usually not, thanks to Private Residence Relief. If you let it out for part of the time, the let period may be taxable. The last 9 months of ownership are always exempt if it was your main home at some point. More: Capital Gains Tax on Rental Property Calculator 2026/27 →
How much is Stamp Duty on a £250,000 buy-to-let?
£15,000: 5% on the first £125,000 (£6,250) plus 7% on the next £125,000 (£8,750). More: Buy-to-Let Stamp Duty Calculator 2026 →
Do companies pay the surcharge?
Yes. Companies buying residential property pay the higher rates. Purchases over £500,000 by companies can face a flat 17% unless relief applies. More: Buy-to-Let Stamp Duty Calculator 2026 →
Is there Stamp Duty on property under £40,000?
Additional properties under £40,000 don't pay the surcharge. Standard rates then apply, which is 0% below £125,000. More: Buy-to-Let Stamp Duty Calculator 2026 →
What counts as qualifying income?
Gross income from self-employment and property, UK and overseas, before expenses. For joint property, count your share. Wages, pensions, dividends and interest don't count. More: Making Tax Digital Checker for Landlords 2026–2028 →
Can I be exempt?
You can apply for an exemption if it isn't reasonably practical for you to use digital tools, for example because of age, disability, location or religion. More: Making Tax Digital Checker for Landlords 2026–2028 →
What is a good rental yield in the UK?
It depends on the area and property type. Gross yields of 5–7% are common outside London. Central London is often lower. Net yield and cash flow matter more than gross yield. More: Rental Yield Calculator UK: Gross, Net & Cash Flow →
Does this include Stamp Duty?
Include it in buying costs. Use our buy-to-let Stamp Duty calculator to get the figure. More: Rental Yield Calculator UK: Gross, Net & Cash Flow →
How much deposit do I need for a buy-to-let?
Usually at least 25% of the price. Bigger deposits (35% to 40%) often get better rates. More: Buy-to-Let Mortgage Calculator UK: Payments & Rent Test →
Why is the lender's test rate higher than my rate?
Lenders check the rent would still cover the mortgage if rates rose. Five-year fixes are often tested at a lower rate than two-year fixes. More: Buy-to-Let Mortgage Calculator UK: Payments & Rent Test →
Can I top up with my salary if the rent is too low?
Some lenders allow 'top slicing', using personal income to make up a shortfall. Ask a mortgage broker. More: Buy-to-Let Mortgage Calculator UK: Payments & Rent Test →
What is a good monthly profit on a buy-to-let?
It depends on your aims. Many landlords look for positive cash after all costs plus a safety margin for rate rises and repairs. More: Rental Profit Calculator UK: Monthly & Yearly Landlord Profit →
Are capital repayments a cost?
No. They reduce your loan but aren't an expense for profit or tax. More: Rental Profit Calculator UK: Monthly & Yearly Landlord Profit →
How often can I increase the rent?
In England, once a year for periodic tenancies, using the formal notice process. More: Rent Increase Calculator UK: Percentage & Yearly Effect →
How much notice must I give?
The notice period is set by law; use the current government form and check GOV.UK before serving it. More: Rent Increase Calculator UK: Percentage & Yearly Effect →
Is the 30x rule a legal requirement?
No. It's a common referencing guideline, and agents and referencing firms set their own criteria. More: Rent Affordability Calculator UK: Tenant Income Needed →
What is the ADS rate in Scotland?
8% of the total purchase price for additional dwellings costing £40,000 or more, on top of LBTT. More: Scotland LBTT Calculator for Buy-to-Let (with 8% ADS) 2026 →
When is LBTT due?
The return and payment are due to Revenue Scotland within 30 days of the effective date, usually completion. More: Scotland LBTT Calculator for Buy-to-Let (with 8% ADS) 2026 →
When is LTT due?
The return and payment must reach the Welsh Revenue Authority within 30 days of completion. More: Wales LTT Calculator for Buy-to-Let & Second Homes 2026 →
Can I get the higher rates back?
If you pay higher rates because you hadn't yet sold your previous main home, you may be able to claim a refund if you sell it within the allowed period. Check the WRA guidance. More: Wales LTT Calculator for Buy-to-Let & Second Homes 2026 →
Is a limited company better for buy-to-let from 2027?
Often for higher-rate taxpayers with mortgages, because companies deduct interest in full and pay 19% to 25%, against 44% or 49% personally. Basic-rate landlords who need all the income may pay more through a company. More: Limited Company vs Personal Buy-to-Let Calculator 2027/28 →
Do companies pay the 24% property income rate?
No. The property income rates are for individuals. Companies pay corporation tax. More: Limited Company vs Personal Buy-to-Let Calculator 2027/28 →
Can we choose any split for tax?
No. The split must match your actual beneficial ownership, declared on Form 17. You can't pick a split purely to save tax. More: Joint Ownership Rental Income Split Calculator (Form 17) →
Does this work for unmarried couples?
Unmarried co-owners are taxed on their actual shares and don't need Form 17. Changing shares is a transfer that may have CGT and Stamp Duty consequences. More: Joint Ownership Rental Income Split Calculator (Form 17) →
Should I sell my buy-to-let before April 2027?
Selling before April 2027 doesn't change the CGT rate. CGT stays at 18% and 24%. The 2027 change affects the tax on rent you keep collecting, which this calculator includes. More: Sell or Keep Buy-to-Let Calculator UK (2027 Tax Rates) →
When are payments on account due?
31 January and 31 July, each usually 50% of the previous year's Self Assessment bill. More: Payments on Account Calculator for Landlords (2027 to 2029) →
Do landlords have to make payments on account?
Yes, if their last Self Assessment bill was over £1,000 and less than 80% of their tax was collected at source, such as through PAYE. More: Payments on Account Calculator for Landlords (2027 to 2029) →
Where does mortgage interest go on the SA105?
Box 44, residential property finance costs. Enter 100% of the interest. Don't include it in boxes 24 to 29. More: SA105 Landlord Tax Return Helper: Box by Box (2025/26) →
Which box is for replacing a fridge or sofa in a rental?
Box 36, costs of replacing domestic items, for like-for-like replacements in residential lets. The first purchase of an item isn't allowable. More: SA105 Landlord Tax Return Helper: Box by Box (2025/26) →
Do I need to fill in the SA105 if my rent is under £1,000?
Usually not. If your total property income is £1,000 or less you can use the property allowance and may not need to report it, unless you're already in Self Assessment for other reasons. More: SA105 Landlord Tax Return Helper: Box by Box (2025/26) →
Does the helper send my figures anywhere?
No. Everything is calculated in your browser. More: SA105 Landlord Tax Return Helper: Box by Box (2025/26) →
More answers
Does the mansion tax apply in Scotland, Wales or Northern Ireland?
No. The High Value Council Tax Surcharge applies to residential property in England only. More: Mansion Tax and Landlords: Who Pays the Council Tax Surcharge? →
Can I pass the surcharge on to my tenant?
The charge falls on the owner. Any rent increase must follow the annual rent increase rules, and tenants can challenge increases above market rent. More: Mansion Tax and Landlords: Who Pays the Council Tax Surcharge? →
Will my agent deduct 24% automatically?
Agents must apply the rate in force for each quarter. If you're approved to receive rent gross, nothing is deducted and you pay through Self Assessment. More: Overseas Landlords: More Tax Withheld From Rent From April 2027 →
Can I reclaim tax that was over-deducted?
Yes. The tax deducted is credited against your liability on your UK tax return, and any excess is repaid. More: Overseas Landlords: More Tax Withheld From Rent From April 2027 →