UK Property Income

This guide explains how to set up and manage a UK property business in My Tax Digital, including adjustable summaries and annual adjustments & allowances.

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1. The UK Property Income Hub

The UK Property Income screen is the main management hub for a UK property business. From here you can navigate to all the submission areas for the business.

Card	Description
Obligations	View open and fulfilled income & expense submission periods.
Income & Expenses	Retrieve and review previously submitted cumulative income and expense figures.
Adjust Income & Expenses	Submit or update an Adjustable Summary — a HMRC-required end-of-year adjustment to your cumulative figures.
Adjustments & Allowances	Submit annual adjustments and capital allowances.

The hub also shows the current Reporting period and Submission mode (Accounting or Bridging).

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2. Income & Expenses

The Income & Expenses screen shows the cumulative income and expense figures submitted to HMRC for a given period. It updates after each quarterly submission.

2.1 Viewing Income & Expenses

Income

Field	Description	SA105
Total rents from property	Total rental income received from all properties in the period.	Box 20
Other income from property	Other property income not included in total rents.	Box 20
Total rents received from rent-a-room properties	Income from letting furnished accommodation in your own home under the Rent a Room scheme.	Box 20
Tax already deducted from the rental income	Any UK tax withheld at source from the rental income.	Box 29
Premiums for the grant of a lease	Taxable portion of premiums received for granting a lease.	Box 22
Reverse premiums and inducements	Payments received from a landlord to induce you to take on a lease.	Box 23

Click Prepare update to submit figures for the current period.

2.2 Updating Income & Expenses — Accounting mode

In Accounting mode, income fields are pre-filled from your linked business transactions. The submission mode shows Accounting (X% split) where X is the ownership percentage configured for this income source. Review the figures and click Submit.

2.3 Updating Income & Expenses — Bridging mode

In Bridging mode, import cumulative figures from a spreadsheet:

1. Download the template below, populate your cumulative income and expense figures, and save the file.

Download example SA105 UK Property template (XLSX)

2. Click Import figures, select your completed spreadsheet, and click Upload.

3. Review the imported income figures and choose Consolidated or Granular for expenses.
4. Click Submit.

Expenses

Field	Description	SA105
Rent, rates, insurance and ground rents	Property-related overhead costs.	Box 24
Property repairs and maintenance	Cost of maintaining and repairing the property.	Box 25
Non-residential property finance costs	Finance costs for commercial property (not residential mortgage interest).	Box 26
Legal, management and other professional fees	Agent fees, solicitor costs, accountancy fees etc.	Box 27
Costs of services provided, including wages	Costs of services directly provided to tenants (e.g. cleaners, gardeners).	Box 27
Other allowable property expenses	Any other allowable expenses not covered above.	Box 29
Car, van and travel costs	Travel costs incurred in managing the property.	Box 27
Rent a Room exempt amount	The amount of Rent a Room income that falls within the tax-free threshold.	Box 37
Residential property finance costs	Mortgage interest on residential lettings (Section 24 restriction applied by HMRC).	Box 44
Residential financial costs carried forward	Unused residential finance costs brought forward from a prior year.	Box 45

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3. Adding a UK Property Business

Before you can submit any UK property income, you must first add the property business and configure how you will submit figures.

2.1 Submission Mode

Choose how you will provide your income and expense figures to HMRC.

Option	Description
Accounting	Figures are calculated automatically from your transactions recorded in My Tax Digital.
Bridging	You import figures from an external source using a spreadsheet.

2.2 Adding a Business

Provide the basic details for the property business.

Field	Description
Business name	A name for the property business (e.g. "UK Property").
Business type	Select UK Property (Private Landlord) for residential lettings.
Industry	Select the appropriate industry category (e.g. Real estate activities).
Is VAT registered?	Indicate whether the business is VAT registered.
Email / Phone	Optional contact details for the business.
Address	Search for the business address by postcode or address.

2.3 Linked Business & Submission Details

After adding the business, complete the submission configuration.

Field	Description
Business	The property business linked to this income source. Click + New to add a new business.
Ownership percentage	If this individual is the sole owner, enter 100%. For joint owners, enter the percentage of income attributable to this individual for tax purposes. Currently only whole numbers are accepted — if your actual share is not a round figure, round to the nearest whole number for now.
VAT Treatment	Choose whether to report income and expenses as Net (excluding VAT) or Gross (including VAT). The default is set automatically based on the VAT scheme and business type.
Accounting period — Period type	Select Standard (6 April to 5 July cycle) or Calendar (1 April to 30 June cycle). This can only be changed before any submissions have been made for the year.

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4. Adjustable Summaries

An Adjustable Summary (BSAS) allows you to adjust the cumulative income and expense figures already submitted for a period. It is required before your final tax calculation can be performed.

3.1 Viewing an Adjustable Summary

The view screen shows a read-only summary of the adjusted figures.

Field	Description	SA105
Taxable profit	The final taxable profit figure reported to HMRC.	Box 40
Total deductions	The total of all deductions applied (allowances, losses b/f etc.).	-
Total additions	The total of all additions to net profit (balancing charges etc.).	-
Net profit	Net profit after income and expenses but before adjustments.	Box 38
Total expenses	The total of all allowable expenses.	Boxes 24–29
Total income	The total income from all property sources.	Box 20

Click Prepare update to unlock editing.

3.2 Updating an Adjustable Summary

When updating in Bridging mode, provide the adjusted figures directly.

First, indicate whether adjustments are required (Yes/No), then provide the following figures:

Income

Field	Description	SA105
Total rents received	Total rental income received from all properties.	Box 20
Premiums of lease grant	Taxable portion of any premiums received for granting a lease.	Box 22
Reverse premiums	Payments received from a landlord to induce you to take on a lease.	Box 23
Other property income	Any other income from the property business not covered above.	Box 20
Financial costs	Finance costs such as mortgage interest (non-residential).	Box 26

Letting agent collecting rent on your behalf: Record the gross rent as an income transaction and the agent fees as a separate expense transaction. Do not record only the net amount paid to your bank account. Attaching the agent's monthly statement as a supporting file is good practice and provides evidence if HMRC queries the figures.

Expenses

Choose Consolidated (single figure) or Granular (individual categories). Granular categories include: Premises running costs, Repairs and maintenance, Financial costs, Professional fees, Cost of services, Residential financial cost, Travel costs, and Other.

Mortgage interest on residential lettings is not entered here. The Financial costs field above covers non-residential finance costs only (e.g. commercial property mortgages). For residential mortgage interest, go to Adjustments & Allowances and enter the full amount under Residential finance costs (SA105 box 44) — HMRC applies the Section 24 restriction automatically.

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5. Adjustments & Allowances

The Adjustments & Allowances screen is where you record annual capital allowances and property-specific adjustments. This corresponds to the adjustments section of your SA105 (UK Property) supplementary page.

4.1 Viewing Adjustments & Allowances

The view screen shows currently submitted figures. It also includes two property-specific questions:

Field	Description
Are you a non-resident landlord?	Select Yes if you are a non-UK resident receiving UK rental income.
Is this property jointly let?	Select Yes if the property is owned and let jointly with another person.

The following read-only adjustment and allowance figures are also shown:

Field	Description	SA105
Private use adjustment	Reduction for any element of private use of the property.	Box 30
Balancing charge	Charge arising on the disposal of a capital asset previously claimed against.	Box 31
Business premises renovation allowance balancing charges	Balancing charge specific to the Business Premises Renovation Allowance.	Box 31

Click Prepare update to unlock editing.

4.2 Updating Adjustments & Allowances

Allowances

Field	Description	SA105
Property income allowance	The £1,000 property income allowance, if claimed instead of actual expenses.	Box 20.1
Annual investment allowance	100% first-year allowance on qualifying plant and machinery.	Box 32
Structures & Buildings Allowance	Annual SBA on qualifying commercial building expenditure.	Box 33
Electric charge-point allowance	100% first-year allowance on electric vehicle charging equipment.	Box 33.1
Zero-emission car allowance	100% first-year allowance on new zero-emission cars.	Box 34.1
Other capital allowances	Any other capital allowances not covered by the categories above.	Box 35
Residential finance costs	Finance costs for residential lettings subject to the finance cost restriction rules.	Box 44

Section 24 — mortgage interest: Enter the full mortgage interest amount here. You do not need to apply the finance cost restriction yourself — HMRC applies the Section 24 restriction automatically when processing the tax calculation. Non-residential finance costs (e.g. commercial property mortgages) should be entered under Financial costs in the Adjustable Summary instead.

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6. Joint Ownership and Share Access

Two common joint landlord scenarios require different setups:

• Same property, two owners — e.g. a couple who co-own one rental house. Use the shared business workflow below: one property business, two individuals each reporting their own percentage.
• Separate properties — e.g. each partner owns different properties independently. Each owner simply sets up their own property business in their own account. No sharing is required.

The rest of this section covers the same property, two owners workflow.

If you jointly own property with another person, both owners can submit their own quarterly returns from a single shared set of transaction records — avoiding the need to enter transactions twice.

This workflow requires both owners to use Accounting mode for their UK property income source.

Step 1: First owner sets up the property business

One owner adds the UK property business to their account in Accounting mode and records all property income and expense transactions as normal.

Step 2: Share access with the co-owner

The first owner selects the property business in the left-hand menu, then clicks Update Business. Scroll down to the Shared access section and click the + button. Enter the co-owner's My Tax Digital account email address, assign their roles, and click Submit.

For joint property, assign at minimum View Accounting so the co-owner can see the shared transaction records. Assign Manage Accounting if they also need to add or edit transactions.

Shared access and roles: These roles control the co-owner's level of access to this specific business only. The co-owner cannot see your individual account details, other income sources, or any businesses you have not explicitly shared with them.

Step 3: Co-owner links the shared business

The co-owner switches to their Individual account using the entity switcher at the bottom-left of the screen. They then navigate to Business Income and click on their UK property income source. In the income source settings, click the edit button and:

1. Set submission mode to Accounting
2. In the Linked business section, select the shared property business from the dropdown — it will appear because access has been granted
3. Under Submission details, set the Ownership percentage to their share (e.g. 50%)
4. Click Update to save

Step 4: Both owners submit independently

Both owners submit their own quarterly income and expense summaries to HMRC from their individual accounts. The underlying transactions only need to be entered once, but each person reports their own proportionate share.