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This is what non-UK residents should know about paying UK property tax

Don’t be overwhelmed by the admin and lingo of the UK tax season, Tailor My Property has a network of resources and professionals to help you every step of the way. Here’s what you need to know about paying tax as a non-UK resident.

Are you obligated to pay tax in the UK as a non-resident?

Non-UK residents are still obligated to pay taxes on any income made from within the UK’s borders. This is often the case when it comes to property. Whether you own UK property that you are renting out or selling, you will be required to pay tax regardless of where you are based.

If you are issued a tax return by HMRC (Her Majesty's Revenue and Customs) and you have sources of taxable income or chargeable capital gains tax (i.e. property sales) within the UK, you are required to provide the relevant details. If you haven’t received one but know you need to file a tax return, you’ll need to report it to the HMRC.

Landlords of property in the UK

The rent or income you receive from a UK-based property is considered a taxable income. Technically, the tenant or relevant rental agent is responsible for deducting the relevant taxes and paying it to HMRC, but the landlord must also submit a UK Self-Assessment tax return.

Deadlines for tax returns

For the UK tax year 6 April 2020- 5 April 2021 the deadline to file returns is 31 October 2020 for paper filed returns and 31 January 2021 if you are filing electronically.

If you fail to file a tax return or file late you will be liable to penalty payments, even if you have no tax to pay or you have already paid all the tax you owe. The penalties vary depending on how late you are (one day, three months, six months, 12 months etc.) and in very serious cases you could face a penalty of up to 100% of the tax due.

Consult a professional

The UK tax process as a non- resident can be daunting, complicated and downright frustrating if you don’t know what you’re doing, and consulting a professional is highly recommended to ensure you comply with all of the requirements, as well as to make sure you receive any and all benefits you may be entitled to.

Our tax return services are available to clients across Asia and the Middle East, and ensure you’ll stay up to date with your financial responsibilities when it comes to your properties in the United Kingdom and beyond.

By utilising trusted partners and facilitating in the process, we’re up to date on all things UK real estate, and ensure you comply with every box you need to tick, assisting with UK tax rates, tax on rental income and everything in between.


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