Did You Rent Property During The Commonwealth Games?
You may receive a letter from HMRC soon ...
Posted by Helen Beaumont on 24/08/2022 @ 8:00AM
During the Commonwealth Games, a number of property owners wanted to boost their income by renting their homes, a room or other properties to spectators, athletes and organisers. Unfortunately, if you did this, you may soon receive a letter from HMRC ...
If you did rent your home, a room or other properties out during the Commonwealth Games, then do get in touch!
Sporting events covering multiple days can provide a great chance to fill unused rooms or houses and earn additional income. Do remember though, according to HMRC, short-term rental income is taxable.
"You may be forced by HMRC to sign-up for self-assessment and disclose it!"
HMRC has many sources of information about potential taxpayers, including booking sites like Airbnb, and is now writing to specific individuals to make it as straightforward as possible to assist them to pay their taxes. Letters may look scary at first, but certain exemptions are available, even if these letters make it look like there aren't any.
If the property is not your primary residence, it's possible for you to receive up to £1,000 in relief each year. If you're letting out rooms in your primary residence that are furnished, you could be eligible for the rent-a-room initiative which is a great option.
"There is a potential exemption worth up to £7,500 per year!"
We all know that taxation, allowances and reliefs are complicated areas so if you did rent your home, a room or other properties out during the Commonwealth Games, then do get in touch.
Until next time ...
HELEN BEAUMONT
Would you like to know more?
If anything I've written in this blog post resonates with you and you'd like to discover more about taxation on rental income, especially during the Commonwealth Games, it may be a great idea to give me a call on 01908 774323 and let's see how I can help you.
Helen brings the personal tax planning experience of the top 20 tax companies to Essendon. Formerly of MacIntyre Hudson (with 45 offices nationwide), Helen worked at Chancery for more than 10 years before joining Essendon as the personal tax specialist.
Tax Planning can make a considerable difference to your tax liability. Helen has specialist knowledge and experience in tax planning and uses every opportunity to minimise your tax bill is utilised. By analysing your investments, income, profit and expenditures, Helen will provide strategic tax planning expertise that could offer significant savings, whilst delivering clear, honest advice and guidance.
When Helen is not at Essendon she spends time with her young son and likes going on long walks with the family dog.
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