As the landlord tax return deadline approaches, landlords are reminded that they need to have submitted their accounts by 31st January. With the recent changes to section 24 tax laws, it is more important than ever for landlords to ensure that they are offsetting all permitted expenses against their profit.

According to Chris Stone, Managing Director, “The section 24 tax changes mean that landlords need to be more vigilant than ever about offsetting their expenses. It is vital that landlords take advantage of all the permitted expenses that they are entitled to use in order to minimise their tax liability. Landlords should be thinking about this ahead of the landlord tax return deadline on 31st January”

So, what expenses can landlords use to offset against their profit? Here are a few examples:

Mortgage interest payments
Repairs and maintenance costs
Insurance
Letting agent fees
Energy performance certificate costs
Legal fees
Accountancy fees
Landlord’s association fees
Travel expenses (if the landlord manages the property themselves)
It is important to note that not all expenses are allowed to be offset and certain restrictions apply. Landlords should consult with their accountant or the HMRC for more information on what expenses they can offset.

More information about the deadline and permitted expenses can be found on the HMRC website, https://tinyurl.com/landlordtaxadvice

Alternatively landlords can find out more about our fully managed service and how we can assist in making property investing simple on our website – https://elitepg.co.uk/let/