Hello, I am Keith, one of the experts on Just Answer, and happy to help you with your question.
The following items are deductible for landlords [source: Which]
'Allowable expenses a landlord can claim
The most common types of expenses you can deduct are:
The expense should be incurred wholly and exclusively as a result of renting out your property.'
UK Tax and NI rates you can find here:
In very basic terms Capital Gains Tax (CGT) applies to any gain you make of disposal. The first 11.1K (Annual Exempt Amount, non cumulative) is deducted from the gain and the balance charged at 18% or 28% or a combination of the two rates depending on your income including the gain in the tax year of sale.
I do hope that my reply has shed some light on your position.
The AEA is an annual, use it or loose it concession, and applies to all capital gains.
You gain is 100K plus 25K = 125K in that year less your AEA of 11.1K leaves 113.9K exposed to CGT. This will be levied at 18% or 28% or a combination of the two rates for the buy to let depending on your income including the gain in the tax year of sale. For other assets the rates are 10% and 20%. Also, if you ever occupied the buy to let before or after letting you may be entitled to Lettings Relief (LR) up to 40K.
Sorry for the delay, but your quesry did not present on Just Answer in the usual manner.
Entrepreneurs' Relief, which limits CGT to a flat rate 10%, only applies if you are going fully or partly out of the business.
Full details can be found in HMRC Helpsheet 275 which you can find here:
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