Rental income
Is rental income taxed on receipt basis or accrual basis? A landlord has issued an rental invoice to tenant but has not been paid yet. Would he pay tax on that rental income? Can you please direct me to any piece of legislation or ACT so I can further read about it.
Comments
Property income received
|
Fri, 19/03/2010 - 17:30 |
Permalink
is taxed as a property business.
All UK properties let are one business. Any foreign properties are a second business, and properties let by a partnership are a third business.Losses in one cannot be set off to another, only carried forwards
Try reading ITTOIA s260 et seq
Accrual
ITTOIA s272(1) "The profits of a property business are calculated in the same way as the profits of a trade"