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TonyTax, Tax Consultant
Category: Tax
Satisfied Customers: 15975
Experience:  Inc Tax, CGT, Corp Tax, IHT, VAT.
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At the moment my husband and myself have pension credit.i

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hello,at the moment my husband and myself have pension credit.i have been left a flat by my late father who rented it out at £695 per calendar month less 6% agent fees.we wish to continue this to give us an income as we will lose pension credit .also we will have something to leave our son. my pension is £90.42 per week as i do not have full entitlement and my husbands is £135.18 per question is would it be better to have the flat put in just my name (as it was left to me) or in both our names for tax reasons and will the new pension allowances make any difference .thank you mrs k l mcbride
Hi. Is the only source of income that you each have other the rental income your state pensions? Which pension allowances are you referring to?
Customer: replied 2 years ago.
hi yes this will be the only income we will have.the pension allowances at moment is pension credit but this will stop when property is signed over by land registry.
How much of your pensions is pension credit?
Customer: replied 2 years ago.
the amounts i sent are pension without the credit amount
Customer: replied 2 years ago.
hello do i sit here or wait for an email?
OK, thanks.
In the current tax year you will receive £4,702 and your husband will receive £7,029 in taxable state pension. You each have a personal allowance of at least £10,600.
Assuming that you have only just started receiving the rent, you may as well leave the property in your name until the start of the new tax year on 6 April as you won't pay any tax on 3 months rent.
For 2015/16, it might be as well to put it into joint names as that way, you will each use more of your personal allowances of £11,000 and your husband will pay little if any tax. If it stayed in your name and you have no expenses other then the letting fees, you might pay a little tax but either way there's not much in it.
Take a look here for information on letting expenses:
There is information on tax here:
I hope this helps but let me know if you have any further questions.
Customer: replied 2 years ago.
thank you for that,i think i will put it in joint names.there shouldn't be much tax to pay. if i have need of more advise i will come back
OK. Thanks and good luck with the letting.
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