smiley11 Posted April 27, 2011 Share Posted April 27, 2011 Can anyone help with this? I am filling in the Tax Credit forms to report a 'Change in Circumstance' - my partner is moving in with me. He is letting out his flat but is not making a profit. Basically, the rent covers the mortgage on it. On the form, it asks for 'Income from Property' but doesn't define what this is. Do we have to put this on the form as an income even though no profit is being made? Help anyone? Link to comment Share on other sites More sharing options...
SYorksDeano Posted April 27, 2011 Share Posted April 27, 2011 I'd do it over the phone. It's sorted out a lot quicker Link to comment Share on other sites More sharing options...
smiley11 Posted April 27, 2011 Author Share Posted April 27, 2011 They told me I have to fill the form in - which is fine but I just need to know if the rent from his flat is classed as an income or not, even though he makes no profit. Link to comment Share on other sites More sharing options...
fredsredhat Posted April 27, 2011 Share Posted April 27, 2011 i'd have thought it is an income, the fact he spends it on paying a mortgage is irrelevant to tax office? i dont know that for fact though. Link to comment Share on other sites More sharing options...
SHsheff Posted April 27, 2011 Share Posted April 27, 2011 No, it's the net income ie after insurance, management charge, mortgage etc. However, as has been said, phone and talk it through with them so you're sure you've told them all relevant details. Link to comment Share on other sites More sharing options...
ANGELFIRE1 Posted April 27, 2011 Share Posted April 27, 2011 I suspect it means what it says, "Income from property" its of no concern to the taxman what you do with the brass, he just wants to know what you receive - GROSS ammount. We have just had a similar issue. Regards Angel. Link to comment Share on other sites More sharing options...
Leah-Lacie Posted April 27, 2011 Share Posted April 27, 2011 I thought you could do anything with changes in circumstances over the phone? Its usually much easier, as they help you with any problems, and obviously much quicker. I've never had to fill a form in yet x Link to comment Share on other sites More sharing options...
SHsheff Posted April 27, 2011 Share Posted April 27, 2011 I suspect it means what it says, "Income from property" its of no concern to the taxman what you do with the brass, he just wants to know what you receive - GROSS ammount. We have just had a similar issue. Regards Angel. Do you mean net? ie, after you've paid your expenses? Because that's your true income from it. Link to comment Share on other sites More sharing options...
ANGELFIRE1 Posted April 27, 2011 Share Posted April 27, 2011 Do you mean net? ie, after you've paid your expenses? Because that's your true income from it. Nah, income is income, tax man wants to know the full ammount not what's left after you have paid bills, etc etc. The one we dealt with did anyway. Regards Angel. Link to comment Share on other sites More sharing options...
kimba Posted April 27, 2011 Share Posted April 27, 2011 This is tricky,Does your partner have a mortgage on the property? If so then if he is letting it out it should be changed from a residential to a buy to let mortgage,Then thats classed as a income. Link to comment Share on other sites More sharing options...
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