Buy-to-Let Guide

Joint Ownership Tax Planning

Often, ownership of rental property is shared with other people. If this is the case, the rental income will be taxed depending upon your share of the property.

Property jointly owned with spouse or civil partner

Property jointly owned by married couples and civil partners who live together will usually be taxed in equal shares, unless you decide to split ownership differently.

If you own the property in different shares, you can use a different profit split.

If you own the property in unequal shares, and are entitled to the income in the same unequal shares, the income can be taxed on that basis. If this is the case then you both need to notify HMRC.

Property jointly owned but not with a spouse or civil partner

If you own a property jointly with another person who isn’t your spouse or civil partner, your share of the rental profits or losses will usually be based on the share of the property you own.