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Sam
Sam, Accountant
Category: Tax
Satisfied Customers: 13937
Experience:  26 HMRC expertise, PAYE, Self Assessment ,Residency, Rental Income, Capital Gains, CIS ask for Sam Tax
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Hi I get an allowance of £1,000 per month via a court order

Resolved Question:

Hi

I get an allowance of £1,000 per month via a court order from my ex husband. I also rent out my property and receive £695 per month. I don't have any income apart from this. My ex-husband has told me that I don't have to pay tax but its always worrying me a little that I do.

I was wondering if you could tell me if I am liable to pay tax on this income?
Submitted: 3 years ago.
Category: Tax
Expert:  Sam replied 3 years ago.
Hi

Thanks for your question I am Sam and I am one of the UK tax experts here on Just Answer.

The rental income should be declared to HMRC - whether its liable to tax or not, but as things stand you have £695 from rental income that adds to £8340 a year and the maintenance payments are NOT liable to tax.

So you can receive income of £10,000 a year so certainly are not a tax payer, but should still be advising HMRC of this rental income each tax year.

I would advise getting in touch with them -
Self Assessment Helpline

Opening hours8.00 am to 8.00 pm, Monday to Friday
8.00 am to 4.00 pm Saturday
Closed Sundays, Christmas Day, Boxing Day and New Year's Day
Telephone number 0300(NNN) NNN-NNNN


And advise them that you have rental income, which whilst below your personal allowances, you understand should be declared each year.
They will then arrange to issue you with the appropriate self assessment tax returns to complete to declare the rental income and claim the relevant expenses.


Thanks

Sam
Customer: replied 3 years ago.

Thank you!


 


I am in India at the moment but will contact the tax office as soon as I return.

Expert:  Sam replied 3 years ago.
Hi Sue

That's great - enjoy India

And if you need any help in completing the self assessment tax returns, you can always come back to Just Answer (saving cost on the high street accountant) and if you would prefer me to help, just ask for "Sam Tax" in your opening post.

If, you have any follow up questions, regarding this situation, then do feel free to ask, but it would be appreciated if you could rate the level of service (or press accept) for the service I have provided, as this ensures I am credited for my time

Thanks

Sam
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