Category: financial advice
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Property allowance UK – 2026/27 guide
Is the 1000 property allowance per property or per person? If you earn rental income in the UK, the £1,000 property allowance is available per person, not per property. This means each individual can claim up to £1,000 of property allowance each tax year, regardless of how many properties they own. If your gross property…
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Can I put rental income in my wife’s name?
Yes, but only if your wife is legally entitled to that rental income. You cannot simply choose to put all of your rental income in your wife’s name to reduce tax. HMRC taxes rental income based on who actually owns the beneficial interest in the property, and there are special rules for married couples. If…
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Bills of Exchange fraud
Can You Pay HMRC With a ‘Bill of Exchange’? The short answer is no. HMRC does not accept Bills of Exchange as a way to pay off tax bills. If a company or promoter tells you that you can use a Bill of Exchange to legally wipe out your HMRC debt, they are misleading you—it…
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How far back does HMRC go for unpaid tax?
If you’re worrying about an old tax mistake, you probably want to know exactly how far back HM Revenue & Customs (HMRC) can look into your affairs. The short answer is: it depends on why the tax wasn’t paid. Generally, HMRC can go back 4 years for innocent mistakes, 6 years for careless errors, and…
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How much is the fine for not declaring rental income?
If you’re a landlord in the UK and haven’t declared your rental income to HMRC, the fines can range from 0% to 100% (or even more for offshore income) of the unpaid tax, depending on why the income wasn’t declared and whether you tell HMRC yourself or they find out first. Understanding the Penalties HMRC…
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How to declare previous years rental income UK
If you need to fix your tax records for past rental income in the UK, the best and safest way is to use HM Revenue and Customs (HMRC)’s Let Property Campaign. This is a special scheme that allows you to voluntarily tell HMRC about unpaid taxes, correct your record, and pay what you owe with…
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Unexpected HMRC Savings Tax Bills? Here is What to Do Next
If you have just received an unexpected letter from HM Revenue & Customs (HMRC) asking for tax on your savings interest, do not panic and do not ignore it. Here is exactly what you need to do right now to sort it out: Why did I get this bill? For a long time, interest rates…
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What to Do When HMRC Wants Tax Money Back: A Complete Guide
If HM Revenue and Customs (HMRC) contacts you to say you owe them tax money, the very first thing you need to do is check if their calculation is correct. Do not panic, but do not ignore the letter or bill either. Compare their figures against your own records (like your payslips, P60, or tax…
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What is the HMRC warning for anyone with over 3500 savings in their bank account?
The HMRC warning is a heads-up that having £3,500 or more in savings could mean you owe tax on the interest you earn. Because interest rates have gone up, your money grows faster, meaning you could easily earn more than your tax-free limit. If this happens, your bank automatically tells HMRC, and you could be…
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What is Certificate of Tax Position?
A Certificate of Tax Position is a formal document sent by HM Revenue & Customs (HMRC) asking you to make a declaration about your offshore income and assets. If you receive one, it means HMRC has received information suggesting you might have money, property, or investments overseas, and they want you to confirm whether your…