A landlord is a property owner who either rents or leases their property in exchange for rental payments. A landlord can be an individual or business, and they are required to provide any necessary maintenance and repairs of the property during the tenancy. The leaseholder, or tenant, is responsible for keeping the property clean and carrying out general upkeep.
Besides the general wear and tear maintenance of the property, landlords also have a few rules and regulations to follow. They are responsible for looking after the following:
Unfortunately, yes. As a landlord, you’re responsible for paying multiple taxes. You pay Stamp Duty when buying your property, and then Capital Gains Tax when selling it. Depending on how you acquire the property, you may also owe Inheritance Tax.
As a landlord, you also pay tax on your net rental income. This is your total income, minus any ‘allowable expenses.’ These expenses can include:
Landlords pay both Income Tax and National Insurance by filing a Self Assessment tax return, just like a self-employed business owner.
If you are a landlord, remember to file your Self Assessment by 31st January the year after the tax year you’re paying for. For example, if you’re paying your 2023/2024 tax return, this should be paid by 31st January 2025.