UK Landlord Property AccountingAnnual Property Accounts & Tax Calculator

Rental profit is added to your other income and taxed at your marginal rate: 20% if your total stays under £50,270, 40% up to £125,140, 45% above. Profit for this purpose is rent less allowable expenses with mortgage interest added back; you then get a 20% tax credit on that interest. Enter your figures above and the calculator shows the amount, the rate that applied and the arithmetic.

Not as an expense, since 6 April 2020. Residential mortgage interest and other finance costs are added back to your profit and you receive a tax reduction of 20% of them instead — so a basic-rate taxpayer is broadly unaffected while a higher-rate taxpayer pays more than before. Interest on commercial or mixed-use property is still fully deductible. The calculator applies the add-back and the credit automatically.

Each owner declares their share of the income and expenses and pays tax at their own rate. Spouses and civil partners are taxed 50:50 unless they have made a Form 17 declaration to be taxed on their actual beneficial shares. Set your share of each property on this page and every figure — rent, expenses, interest, profit and tax — is scaled to it.

If your gross rent is £1,000 or less it is covered by the allowance and there is nothing to declare. Above that, you can deduct a flat £1,000 instead of your expenses; it is worth it only when your allowable expenses are below £1,000, and choosing it means no relief for mortgage interest. This calculator works both routes and uses whichever gives the lower bill, telling you which it chose.

Record every receipt and payment by month: rent and other income, then expenses under HMRC's categories — rates, insurance and ground rent; repairs and maintenance; finance costs; legal, management and professional fees; costs of services; replacement of domestic items; other allowable expenses. Total each category for the tax year (6 April to 5 April), deduct expenses from income for net profit, then add back residential finance costs to reach the profit HMRC taxes. This page does exactly that, per property and across the portfolio.

Costs incurred wholly and exclusively for the letting: letting and management fees, repairs and maintenance (not improvements), buildings and contents insurance, ground rent and service charges, council tax and utilities during voids, accountancy, advertising, legal fees for lets of a year or less, and the cost of replacing domestic items. Mortgage interest and other residential finance costs are not deductible as an expense since 2020 — they give a 20% tax credit instead (Section 24).

Residential finance costs are added back to rental profit, so tax is charged on profit before interest. A tax reduction of 20% of the finance costs is then deducted from the tax bill — but capped at 20% of the lower of the finance costs, the property profit, or your non-savings income above the personal allowance. Any finance costs not relieved carry forward. The computation on this page applies the cap and shows any carry-forward.

No. A UK property business loss can only be carried forward and set against future profits of the same property business — it cannot reduce employment, pension or dividend income. The tax computation on this page treats a loss year as nil property profit and shows the loss to carry forward.

Personal allowance £12,570 (reduced by £1 for every £2 of income over £100,000); basic rate 20% on the first £37,700 of taxable income; higher rate 40% to £125,140; additional rate 45% above. Dividends: £500 allowance, then 8.75% / 33.75% / 39.35%. These thresholds are frozen and the same figures apply to 2026/27. Scotland sets its own bands for non-savings income; this page uses the England, Wales and Northern Ireland rates.

No. It produces the figures you or your accountant enter on the UK property pages (SA105) and an indicative income tax computation. It does not file anything, and it does not cover Scottish rates, savings interest bands, Gift Aid, pension relief, student loans, the High Income Child Benefit Charge, or Class 4 NIC. Treat the result as a planning figure, not a liability.

Not since 6 April 2025. The furnished holiday lettings regime was abolished, so holiday-let income is ordinary property income: it goes through the same categories, the same Section 24 add-back and the same computation as any other let on this page.

Nothing is sent anywhere. By default your figures live only on the page. Switch on Remember on this device to keep them in your browser between visits; Save my figures downloads everything you have entered as a small file that Open saved figures reads back on any device; Download CSV exports the active year for Excel; Print / Save as PDF prints every property and the computation.