A friend of mine is thinking of buying a 1-bed flat in Swindon and using the income to put towards the rent for a 2-bed flat in Maidenhead.
As the potential Swindon flat is his first home purchase, is he able to offset the rental income against the Maidenhead flat, for tax purposes?
If not (as I suspect) are there any good tax efficient methods if partaking in the above?
Reason for doing this is simply that he cannot afford to rent in Maidenhead (where he's from) but he he can purchase in Swindon, and this allow him to get on the property ladder.
Also, they are a couple so potentially can use both their personal allowances for rent received. Are there any rent-specific allowances?
Anything to watch out for or tips on the above scenario.
thanks in advance
As the potential Swindon flat is his first home purchase, is he able to offset the rental income against the Maidenhead flat, for tax purposes?
If not (as I suspect) are there any good tax efficient methods if partaking in the above?
Reason for doing this is simply that he cannot afford to rent in Maidenhead (where he's from) but he he can purchase in Swindon, and this allow him to get on the property ladder.
Also, they are a couple so potentially can use both their personal allowances for rent received. Are there any rent-specific allowances?
Anything to watch out for or tips on the above scenario.
thanks in advance
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