Thanks for your question, I am Sam and I am one of the UK tax experts here on Just Answer
There would be no National Insurance as rental income
Tax would be £25400 less expenses £6000 = £29400 x 20% = £5880 tax due
If you had no other income then you would be entitled to personal allowances so £29400 less personal allowances £11,000 = £18400 x 20% = £3680 tax due
Let me know if I can assist further
What do you not understand ?
However many apologies for the typo error with the gross rental position
Rental income is NOT Liable to National Insurance EVER - only earned income is liable -such as employment and self employment - Investment income never has been subject to National Insurance and never will
So I cannot calculate what does not exist - which I am sure you can appreciate
Hello, I am Keith, on of the experts on Just Answer. I see that Sam has opted out.
I concur with my colleague's opinion. Rentals are not subject to NI contributions. However, to keep your card stamped to use an old expression, you need 35 years worth of contributions to achieve full benefits at statutory retirement age. You can always make voluntary contributions and the relevant office will tell you of any shortfall year by year.
I do hope that I have helped shed some light.
That is a possibility, HMRC might try to say that you are a self employed businessman. However, that flies in the face of the 'No NI' rule explained to you by Sam. However, if your aim is to pay NI does it really matter?
I cannot tell you, I am not an Inspector of Taxes! It depends entirely upon which way your local HMRC tax office cat decides to jump!
It might just be classed as trading. Please be so kind as to rate me before you leave the Just Answer site.
Thank you for your support.