Tax - how much has to be paid if letting out 1 house?

uberalles

Whats the tax liability for letting a property?
What are the legalities of letting a place? i.e. Does the landlord of one property have to register the property with some board?

Any other tips.

Thanks.

bobbyg

uberalles wrote: »

Whats the tax liability for letting a property?
What are the legalities of letting a place? i.e. Does the landlord of one property have to register the property with some board?

Any other tips.

Thanks.

Depends on the rental income. Yes the landlord has to register with the PRTB

robd

bobbyg wrote: »

Depends on the rental income.

To extend that a little. Rental income is just like any other income for tax purposes. Big difference is it's self assessed rather than PAYE. There are certain reliefs that can be claimed against income such as on mortgage interest which is current 75% of interest (not capital) and expenditures. It's complex so look at revenue guide.


Here's a good place to start looking for info:
http://www.citizensinformation.ie/en/housing/renting_a_home/landlords_rights_and_obligations.html

And here's the Revenue's guide to tax on rental income.
http://www.revenue.ie/en/tax/it/leaflets/it70.html

Victor

You pay tax on what ever profit you are making. Profit = income less expenses.

You will also have to pay the NPPR charge. www.nppr.ie

odds_on

uberalles wrote: »

Whats the tax liability for letting a property?
What are the legalities of letting a place? i.e. Does the landlord of one property have to register the property with some board?

Any other tips.

Thanks.

If you don't know the answer to this question, then I would humbly fear that you don't know all the ins and outs of renting a property. There are many laws governing renting property.

At a distance, it seems quite simple, advertize property, get a tenant, sign a lease, collect a deposit and first month's rent in advance and bingo - no worries ......

Well, What do you do if .......
the tenant doesn't pay the rent.
the tenant wants to break the lease because he got a job in another county
the tenant damages the property
the property is damaged by water, landlord's obligations, tenant's rights.
the tenant is unsociable towards the neighbours
the property is broken into and landlord's or tenant's items stolen
the landlord wants the property back for his own use
what items are required by law to be in a residential property
Does the landlord require a BER cert to rent a property.
Does the landlord require any special insurance
If the washing machine fails to function due to overloading, who pays for repairs
Can the landlord enter the property whenever he wants
What type of lease - Fixed term, Periodic or Part 4
The tenant wants to run his business from the property
The tenant appears to have left the property
What is considered as normal "wear and tear".
Rent the property as a single unit or rent individual bedrooms and tenants share facilities - which laws apply to each form of renting
What are the minimum requirements for furniture and kitchen appliances.
What happens if the heating system breaks down in the middle of winter - landlord's obligations, tenant's rights
What happens if the tenant complains of mould in the property - damaging his clothes,
What happens if the tenant completely wrecks the property just before they leave at the end of the lease
Can the tenant make a claim with the PRTB if the landlord refuses to repair/replace a supplied T.V.
How often can the landlord "inspect" the property and does the tenant have to be there during the inspection
etc., etc., etc.,

If you can't answer these questions consider again if you want to be a landlord. Of course, you could have an agent to look after the property and the lease - but good agents are few and far between, so many don't know the law.

Don't necessarily expect to make a profit from renting your property - it may seem a good idea but there are many pitfalls.

Just a few thoughts