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Accountants for landlords and property investors

Property is the area where the rules have changed most, and where we most often find relief that has been missed in earlier years. Two significant changes are landing now.

AccountsHelp prepares rental accounts and Self Assessment returns for landlords and property investors across the United Kingdom, covering allowable expenses, the residential finance cost restriction, Making Tax Digital for Income Tax and the treatment of property held personally or through a company.

What is different about this sector

Where landlords and property need more than generic accounting

01

Finance costs are not an expense

Mortgage interest on a residential let is not deducted from profit. It is relieved as a basic rate tax reducer instead. This is the single most common error we see, and it can push a landlord into a higher tax band on paper.

02

Making Tax Digital is arriving

From 6 April 2026 landlords with qualifying income over £50,000 must keep digital records and file quarterly, with thresholds of £30,000 from April 2027 and £20,000 from April 2028. The threshold is tested against the return you filed two tax years earlier, which is the part most people miss.

03

Separate property tax rates from April 2027

Property income gets its own rates of 22%, 42% and 47% from 6 April 2027, and finance cost relief moves from 20% to 22%. Most published guidance still shows the old position.

04

Repairs against improvements

Repairs are deductible, improvements are not, and the line is not always obvious. Replacing something like for like usually qualifies. Upgrading it usually does not.

05

Personal ownership or a company

Holding property through a company changes how finance costs are relieved but brings its own costs, and moving existing property into one can trigger tax charges. It is worth modelling rather than assuming.

Common questions

Questions from landlords and property

Can I deduct my buy-to-let mortgage interest?

Not as an expense against profit. For a residential let, finance costs are relieved as a basic rate tax reducer instead. From 6 April 2027 that relief is given at the separate property basic rate of 22% rather than 20%. This is the most common mistake we see on landlord returns.

When does Making Tax Digital apply to landlords?

From 6 April 2026 where qualifying income is over £50,000, from 6 April 2027 over £30,000, and from 6 April 2028 over £20,000. The threshold is tested against the return you filed two tax years earlier, not the year you are in, so it is worth checking early.

What expenses can I claim against rental income?

Letting agent and management fees, repairs as distinct from improvements, landlord insurance, ground rent and service charges, utilities and council tax where you pay them, and replacing domestic items in a furnished let. Finance costs are handled separately as a tax reducer rather than as an expense.

Should I hold property personally or through a company?

It depends on your other income, how many properties you hold, whether you are reinvesting or drawing the income, and your plans for the portfolio. A company changes how finance costs are relieved, but moving existing property into one can trigger stamp duty and capital gains charges. It needs modelling on your figures.

General information about how we work with this sector, not advice for your circumstances. Any tax figures mentioned were checked against gov.uk and are set out with their sources on our tax dates and rates page.

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