In the 2024/25 tax year, the UK government offers a £1,000 property allowance to individuals with income from letting out property. This allowance can be deducted from your gross rental income, reducing your taxable rental profit by up to £1,000.
If your gross rental income is £1,000 or less, you may not need to inform HMRC or declare this income on your tax return. However, there are specific circumstances where you may still need to report your income.
Accountants Chester can provide expert advice on whether you qualify for this allowance and how to claim it correctly. They can also help you understand the specific rules and regulations surrounding property income and ensure you are compliant with tax laws.
A Chester tax FAQ by Accountants Chester | Phillips & Co | Accountancy & Tax.