General Information Only: This tool gives estimates, not advice. UK tax rules change often.
Consult Experts: Before you act, talk to:
- A qualified accountant or tax adviser for expats.
- A solicitor who knows property law.
- HMRC for official rules.
Tax on Rent (NRLS)
Living abroad? The Non-Resident Landlord Scheme applies to your rental income.
- The Rule: Your agent or tenant must take 20% of rent for tax and pay HMRC.
- The Fix: You can apply to get paid in full if your tax affairs are up-to-date.
Capital Gains Tax (CGT)
Selling a UK home from abroad? You normally pay tax on the profit.
- Rates: 18% (basic rate) or 24% (higher rate).
- Deadline: Report and pay within 60 days of the sale.
Can You Reduce the Bill?
- PPR Relief: No tax for years it was your main home.
- Exempt Amount: The first £3,000 of profit is tax-free.
- Lettings Relief: Up to £40,000 relief if you lived with your tenant.
Purchase Taxes by Region
Buying property? Taxes depend on the location.
England & Northern Ireland (SDLT)
- Non-Resident Fee: 2% extra for living abroad.
- Second Home Fee: 5% extra if you own other homes.
- Total Extra: Up to 7% on top of normal rates.
Wales (LTT)
- No Non-Resident Fee: Wales does not charge extra just for living overseas.
- Second Home Fee: You still pay more for additional properties.
Scotland (LBTT)
- No Non-Resident Fee: Like Wales, no extra charge for expats.
- Second Home Fee: 8% extra for additional homes.
Statutory Residence Test (SRT)
Are you a UK resident for tax? The test checks your status.
- Overseas Test: Non-resident if you spend less than 16 days in the UK.
- UK Test: Resident if you spend 183 days or more in the UK.
- Ties Test: In between? Your status depends on family, work, and homes.
Section 24: Mortgage Costs
Landlords cannot deduct mortgage interest from rent to lower their tax bill.
- New Rule: You get a 20% tax credit for interest costs instead.
- Result: Higher-rate taxpayers often pay more tax.
- Note: This calculator uses the new rules.
Double Taxation
Does your country tax UK income too? Treaties often help:
- UAE, Singapore, Hong Kong: Usually no local tax on UK rent. You only pay the UK.
- Australia, USA, Spain, France: You report income locally but get credit for UK tax paid.
- USA Citizens: The US taxes citizens everywhere, but credits apply.
Before You Buy or Sell
Check the costs first. Use our rent vs buy calculator to compare options, or our repayment calculator for mortgage costs.
Watch out for issues when viewing homes. Our viewing checklist spots problems early. Also, read our first-time buyer guide to avoid common errors.
Key Deadlines
- CGT Return: File within 60 days of sale.
- CGT Payment: Pay within 60 days of sale.
- Tax Return: Due by 31 January.
- NRLS Payments: Due quarterly (30 days after quarter ends).