Own a Property in the UK?

Own UK property?

Non-UK resident landlords (NRL) do need to complete a UK self-assessment tax return.

Who is a NRL and how does it work?

For the purposes of the non-resident landlord scheme, you will be classed as non-resident if you live or spend more than six months outside the UK and receive income from UK property.

The NRL scheme is operated and approved by HMRC, and under the scheme, HMRC will tax the rental income received by non-UK resident landlords.

The UK letting/estate agents will deduct basic rate (20%) tax from any rental income collected on behalf of the non-resident landlords (NRLs). Your letting/estate agent should supply you with a certificate of tax liability (NRL6 certificate) each year to confirm that tax has been deducted from your rental income and paid to HMRC.

When you register with HMRC as a NRL you will also be set up in the Self Assessment system to file and complete UK tax returns.

A tax return will need to be completed in each tax year you are a NRL and continue to receive UK rental income. If you do not complete a tax return accurately and on time HMRC will impose late filing penalties and interest. Check out our blog on the key tax return deadlines.

Our non-resident landlord tax return service includes:

• Completion and filing of your UK tax return

• Review of your UK tax residence position and correctly report these on the residence (SA109) pages of the tax return

• Review your UK rental income and expenses to ensure that the rental profits are correctly reported and disclosed to HMRC.

What documents should you keep records

• Details of the income you receive from the UK property

• Details of all your expenses for the property (eg management, repairs etc).

• Copies of your management statements from your estate agent

• Copy of your NRL6 Certificate with the taxes withholdings.

• Mortgage statements with any mortgage interest payments made.

Should you wish to know more about our service, please feel free to contact us and one of our experts will be in touch.