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Hello my name is ***** ***** I will help you with this.
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hi been renting my house out for three years to friends but it only paid the mortgage so didn't think I had to declare it but the mortgage is now paid up don't know what to do
Yes I understand that.
What to do about what exactly though, I don't understand?
will I need to tellk the taxman
Yes. You should have declared it. You would be required to pay tax on the difference between mortgage interest and rent received.
If you had a repayment mortgage then you would be paying capital as well
You dont get tax relief on capital just interest.
yes but did not know
However in reality you could say you are renting from 5th April 2014 and submit it in this years tax return
It makes no difference whether you knew or not, you should have known as this is income
But if you get a self assessment return you can complete it this year.
the rent only covered the morgage
If you dont call the tax office and ask for a return for the coming tax year
Whilst I am not saying you should lie to the tax man, it is unlikely he would look at anything beyond the previous tax year
The sums would be too small for him to bother about
Can I clarify anything for you about this today please?
Can I help with anything else today?
Don't panic you can fix this in the current tax year
Ok, if I could ask you to rate my answer before you go today - the button should be at the bottom of the screen
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