How much tax on £25,000 rental income?
UK income tax on £25,000 of rental profit in 2026/27 and 2027/28, for every level of other income.
Key facts
- No other income: £2,983 tax in 2027/28.
- £35,000 salary: £7,946.
- £70,000 other income: £11,000.
- Rates on rental profit from April 2027: 24% / 44% / 49%.
Tax on £25,000 rental profit by other income
If £25,000 is your only income, the Personal Allowance covers £12,570 of it and you pay £2,983 in 2027/28. With a £35,000 salary the same profit costs £7,946. With £70,000 of other income it costs £11,000.
| Other income | Tax 2026/27 | Tax 2027/28 | Increase | Share of profit 2027/28 |
|---|---|---|---|---|
| £0 | £2,486 | £2,983 | +£497 | 11.9% |
| £15,000 | £5,000 | £6,000 | +£1,000 | 24.0% |
| £25,000 | £5,000 | £6,000 | +£1,000 | 24.0% |
| £35,000 | £6,946 | £7,946 | +£1,000 | 31.8% |
| £50,000 | £9,946 | £10,946 | +£1,000 | 43.8% |
| £70,000 | £10,000 | £11,000 | +£1,000 | 44.0% |
| £100,000 | £15,000 | £16,000 | +£1,000 | 64.0% |
| £130,000 | £11,250 | £12,250 | +£1,000 | 49.0% |
If you have a mortgage
Mortgage interest isn't deducted. It earns a credit of 24% in 2027/28. With a £35,000 salary and interest equal to 30% of the profit (£7,500), the tax falls to £6,146. Enter your exact figures in the landlord tax calculator.
Notes
Rental profit means rent minus allowable expenses. Figures cover England, Wales and Northern Ireland, with no savings, dividends or pension contributions. The 2027/28 figures use the 24%/44%/49% property rates from the Budget of 28 October 2026.
Other amounts: £5,000 · £10,000 · £15,000 · £20,000 · £30,000 · £40,000 · £50,000