you pay tax on the rental income, less all the expenses.
In my case, I also deduct 10% from total income as 'wear and tear' , repair bills, agent's fees, etc.
I stayed below my personal allowance, so after 2 years of submitting my tax return, the inland revenue send me a letter telling me not to submit my tax return for 2004. I have not submitted any since.
you pay tax on the rental income, less all the expenses.
In my case, I also deduct 10% from total income as 'wear and tear' , repair bills, agent's fees, etc.
I stayed below my personal allowance, so after 2 years of submitting my tax return, the inland revenue send me a letter telling me not to submit my tax return for 2004. I have not submitted any since.
R