uk tax liability for spanish rental property
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Are the expenses for the morgage interest, community tax and utilities only deductable during the time the property is rented? I am receiving conflicting information and would appreciate if any one can clarify this for me. luego Heather
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I was told by the taxman that the deductions could be made for the time the apartment is "available for rent". So, for the times that you are using the property or the times you make it unavailable for rent, you must discount those weeks from your calculations. I have a copy of the Form SA106-tax allowances that will show you what you can and can't claim for. PM me your email if you want a copy.
Mark
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Hi Mark, thanks for your reply. If you could send the information to me that would be great. This is my first excursion into forums so I am not sure how I pass on my email address to you without putting it up on the internet. I will try to figure it out today, thanks again
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Hi Heather
You don't post your email on the forum, you click on Mark's post below yours where it says "send private message" & tell him that way.
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many thanks for that, i am confused because an accountant told me that I could only claim the morgage interest and other expenses only for the weeks the property was let, so therefore I could earn a profit if say I rented it for a month and have to pay tax. seems a bit bizarre to me. someone else told me their tax office has said you can claim for all the weeks except those weeks used for personal use! what is the right answer??
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Try ringing the tax office for further clarification. I telephoned 0845 300 0627 which is in Manchester. They told me that you also need to fill in a self assessment tax return. Most of the info is on the SA106 form. You need to look in the notes and helpsheets and scroll to foreign income.
Mark
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thank you very much,Heather
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