 You don't need to be an 'investor' to invest in Singletrack: 6 days left: 95% of target - Find out more
Long n short been a landlord for a few years. Ive now no mortgage on that property.
So its now making a return. Can i use the income from this to pay a pension? And if so do I get tax relief on it.
The link above is good, but more context is needed to answer your question. Are you currently working or taking you pension. If you are still working then you could probably up your pension contributions. If you are already drawing your pension then your options are more restricted.
Whilst the tax people are here.
Can someone confirm how CGT should work in this scenario? My OH ended up in this situation after living in the flat for 15 years then renting it out for ~6 years when we moved into our house together. As an investment the flat actually lost money during the time it was rented once you take off the cost of refurbishing after a bad tenant and renewing the leasehold. She's under the impression now from HMRC that because it was let for more than 9 months she now owes CGT on all 21 years?
Sadly working. I have a works pension I'm contributing too as well on my paye.
Just want to get more of a return on the property and ensure I'm ok in later life
CGT Calculator - https://www.gov.uk/tax-sell-property/work-out-your-gain
As an investment the flat actually lost money during the time it was rented once you take off the cost of refurbishing after a bad tenant and renewing the leasehold.
Those losses, depending on the exact nature, could have been dealt with through self assessment at the time. Some losses just can't be offset against tax.
Hmrc guide is here - the cgt rules on rentals have been getting stricter for the past few years.
https://www.gov.uk/tax-sell-property