You must register as a Landlord with HMRC so that you can declare and pay tax on rental income you collect. You declare your rental income by filling out a self assessment tax return form.
How to Register as a Landlord With HMRC
You can register as a Landlord on the HMRC website online. However the form you need to use depends on whether you already fill out a self assessment tax return already or not.
How to Register as a Landlord if You Have Never Filled Out a Self Assessment Tax Return
There is an online form you can fill out and submit to HMRC to register as a landlord. You’ll need to fill out your personal details and select the option: “I am getting income from Land and Property in the UK”.
Once processed HMRC will register you as a Landlord and send you out a 10 digit code. This code is a Unique Tax Payers Reference and it is important so you must keep it safe.
How to Register as a Landlord if You Already Fill Out a Self Assessment Tax Return
If you already fill out a Self Assessment Tax Return then you don’t need to complete a form. When you file your tax return you need to select the option to complete the Land and Property section.
The Deadline to Register as a Landlord
You must register as a Landlord by the 5th October following the tax year that you started receiving rent. A tax year runs from 6 April to 5 April.
Say you begun receiving rental income on 31 January 2018. You must register as a Landlord with HMRC by 5 October 2018.
What Happens Once You Are Registered as a Landlord
Once registered as a landlord with HMRC you will need to complete a self assessment tax return. A self assessment tax return form is due by 31 January each each, along with any tax due.
Everyone must file their tax return online except in really special circumstances. To file online you’ll need to set up an HMRC online account also known as a Government Gateway. You can set this up HERE.