UK land and property income (and expenses) are entered through these screens. The top right-hand side of the screen will list the different property addresses entered through the system. Click New to add a property to the data entry screen.
Address
|
The first line of the address must be entered. This information is not printed on the Tax Return so it is not essential to complete the full address. |
Dates |
Dates are not compulsory. If entered, the date of acquisition must be before the end of the tax year and the date of sale must be after the start of the tax year and after the date of acquisition. |
Property let jointly |
Tick the box if the property is jointly owned by another Trust or person. |
Furnished holiday letting |
Tick this box if the property is classed as a furnished holiday letting (FHL). FHLs are treated differently from other properties, especially where losses arise. From 2010 and onwards, EEA furnished holiday lettings must be included on the UK land and property pages. Use this data entry option, or the Foreign Property section (with a tick in Furnished holiday let (EEA)) to complete details of the income and expenses from the furnished holiday let from an EEA country. |
Wear and tear allowance |
Tick this box to claim 10% wear and allowance. This is automatically computed @ 10% of the net rent (after deducting type 1 expenses (council tax, water rates)). Wear and tear allowance can only be claimed for furnished lettings (not furnished holiday lettings). It is not possible to claim wear and tear allowance and furniture renewals. |
Make a period of grace election |
A period of grace election can be made if a property does not meet the necessary thresholds to be treated as a Furnished Holiday Let. See the HMRC helpsheet HS253 for more information. |
Once the property has been set-up, details of the income and expenses received can then be entered. On the lower half of the screen there are two alternatives on the tabbed tree view: Income and Expenses. The list views work in the same way as all other list views. The only difference is that the <Tab> key will cycle to the tabs (Income and Expense) as well as the two list views and the tree view so that keyboard users won't have to reach for a mouse!
It is possible that a group of properties may have been entered under
a single heading, for example a number of flats in one building. In these
cases, it may be helpful to enter several income records, for example
one for each flat. It is also possible to enter details of rent from each
tenant. In practice most users will enter a single income record containing
the total for the year.
Description
|
If left blank, IRIS will insert the word Rent. |
Rent |
Include rental income and any wayleave receivable in the year. Where the property is let jointly only enter the income applicable to the Trust. |
Other income |
Enter any non-rental income, for example, rent charges, ground rents, feu duties, income arising from the grant of sporting rights, income arising from permitting others to tip waste on the land, income where no lease licence is created (such as a film crew paying to film on the land), grants from local authorities for repairs and income from Enterprise Zone Trusts (interest from EZTs should be entered as other interest). This is not an absolute list of other income types. |
Balancing charge |
Capital allowances cannot be claimed of any machines, furniture or furnishings in a furnished letting (note that this restriction does not apply to furnished holiday lettings). If there is a profit on the sale of an asset where capital allowances have been claimed, enter the profit (the balancing charge) here. |
UK Tax paid |
Enter any tax paid. Do not include any payments on account that may have been made under self assessment. |
Expenses may be claimed for costs incurred for the sole purpose of earning profits.
If the total property income is less than £15,000 a single type 0 expense may be entered for the total expenses.
The following cannot be claimed: trustee's or personal representative's
personal expenses; capital costs such as fees relating to the purchase
of the land or property; the cost of purchasing machinery, furnishings
or furniture; any loss on sale.
Type |
IRIS includes a series of standard expense types. These expense types map to specific boxes on the Tax Return. |
| Description | The 'type' description will be inserted automatically if this is left blank. |
| Amount | Enter the allowable expense or full expense (see private use below). |
| Private Use | Either enter the allowable net expense in the amount field or enter the full expense and enter the disallowed portion here. |
Edit Return screen