Blogger
Share this content
0
2
698

Rental Income Losses

Hi,

Clients of mine have had rental income over the last 4-5 years. Due to the low levels of rent received they have not been obliged to submit a tax return.

Now however they are both company directors and as such are completing tax returns. My question relates to the previously unreported rental losses. My clients are keen to now include these figures due to the fact that with low interest rates they may start recording rental profits in the future.

Can these now be included in the current tax return as bfwd rental losses?

Matt

Replies

Please login or register to join the discussion.

avatar
19th May 2011 18:06

Income

"they have not been obliged to submit a tax return." That's a new one on me. This may be the case if they had no other income and even then they should have reported to HMRC that they are LL. Regards Peter

Thanks (0)
avatar
20th May 2011 08:46

Thanks Pete

 

Thanks Pete, but if you dont already complete a tax return there are thresholds which dictate as to whether you need to start, hence them not being obliged previously to complete a return. Income above a certain level from savings, investment or property

If you don't already complete a tax return, you'll need to do so if you receive any of the following:

£10,000 or more income from property (before deducting allowable expenses) £2,500 or more income from property (after deducting allowable expenses)

Thanks (0)