I have a married couple with just the wife having a buy to let property in her name.
The PPR is their main home which is solely in husbands name.
The Buy to Let is solely in wife's name.
Two years have passed and no tax return was filed declaring the rental income. They now want to come clean.
Both are 20% taxpayers, so can I split rental income between them so wife does not hit the 40% tax bracket?. The husband did have an active role in meeting tenants dealing with enquiries etc. So I was planning on creating a partnership and splitting income.
Can this be done, even though legally he owns 0% of the property?