Buy To Let Tax And What You Need To Know

Important Things For Landlords to Consider

Often we are approached by landlords attempting to navigate the world of buy to let tax. If you are a landlord who earns rental income and you have been wondering about rental income tax lately, then you are in the right place. Spartan Accounting Group can assist you with your yearly submissions of rental income tax. No more need to wonder who the best rental income tax practitioners are near me! We will guide you through the process, taking into account all of the important factors. In the ever-changing sphere of rental income tax, it pays to have experienced investment property accountants on your team. Please also read our latest article Understanding The Changes to The Buy to Let Tax Relief

We will help you to navigate through existing and new legislation, ensuring that you are kept informed of any changes or added requirements. As property accountants, Spartan Accounting Group will help you through the difficult task of staying on top of your taxes. This is especially important when you have a portfolio of investment properties to pay taxes on.

Buy To Let Tax Relief

If you have been an investment property owner for a number of years by now, you may have an idea of what the buy to let tax relief entails. However, it is important to know that this is a particular area of buy to let tax accounting that is prone to changes. Essentially, this relief looks much different in this year than it has in previous years. 2021 is the first year in full where you are unable to deduct mortgage expenses from rental income. Instead, landlords are afforded a 20 percent tax credit on interest payments. All in all, the buy to let tax relief looks vastly different as the old way has been phased out completely by this year.

Interestingly enough, to help mitigate the new rules, many investment property owners have taken the route of setting up limited companies when buying rental properties. This is because you will be subject to Corporation tax, as opposed to the higher individual income tax rates.

Stamp Duty on Buy to Let Property

Many new, and even existing investment property owners struggle with the Stamp Duty tax and with knowing how much they are meant to pay. Another thing that can be confusing is the submission of the return. In some cases, you are still bound to submit a return, even if you are not due to pay any stamp duty tax. At Spartan Accounting Group, we will walk you through the requirements, help you work out the stamp duty tax owed and help you with your return submissions. This is to ensure that you are not caught off guard or even worse, fined for late or non-submissions.


During the global Covid-19 pandemic, many relief measures were put in place to help citizens. One of these measures was a stamp duty holiday. This holiday is currently set to end on 31 March, despite many calls to extend it for a further 6 months. Spartan Accounting Group will always keep our clients in the loop of any new developments and will help you to submit accordingly.

Buy to Let Property Tax Specialists

At Spartan Accounting Group, we understand that when it comes to your rental income tax submissions, there are many factors to consider. We can help you to fully understand questions such as how does buy to let property investment work exactly? When you have to pay tax and how much. How much you need to pay on a second or more investment property. Even what landlords are allowed to claim as income tax expenses. How is all this reported efficiently to the HMRC?

Whether you are a first-time rental income homeowner who would like to get started on your investment property portfolio, or an existing buy to let property owner, we can assist you. Even if you are one of the many rental income property owners who decide to go the route of starting a limited company. Spartan Accounting Group specialises in small business accounting and can help you with all of your financial services needs. From property investment accounting to company formations, our business accounting services are comprehensive and offered on a fixed fee basis. Contact us today for your free business accountancy consultation!

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