Sign up to get our free landlord tax strategies

To receive our seven FREE landlord tax saving strategies just simply complete the form below and the first strategy will be emailed to you immediately.

Sign up to get our free landlord tax strategies

Thank You!

Seven FREE property tax busting strategies reveal the secrets of how to legitimately beat the taxman and boost your property profits!
View All Questions

If I transfer to my wife will there be no tax to pay?

I own outright a flat that I let. It generates £595 per month income. I'm a 40% taxpayer and have been declaring the income on my tax return and I guess have been paying tax at 40% on this income. My wife doesn't work. Should I transfer the property into her name? She would then, I presume, pay 0% tax on income up to around £10,000?

Arthur Weller replies: 
If you have a good marriage and therefore trust your wife, then transferring the property to your wife is a very good idea from a tax perspective, because if she has no other income she will pay no income tax on the £7,140 (12 x £595) annual rental income. However, if you have a mortgage on this property and you are claiming relief on the interest payments against your rental income, then the mortgage will have to be in her name for her to claim the relief. 

Property Tax Insider This sample question and answer is taken from Property Tax Insider, a monthly UK tax saving magazine for landlords and property investors.

The first issue is free so click here to try today!

Got a burning tax question?

Why not submit a tax question to our tax advisors

Ask a Question