Is it possible for me to share the Tax Burden with my partner please?.
The properties are in my name as are the tenancy agreements. I work full time but will become part time employed in march working @ 20 hours per week. My earnings from employment will then be below my taxable allowance of 645 so I shouldn't have to pay much PAYE but my wages will effectively decrease by 50%.
My wife is disabled and does not get involved with the rental business. She does not work and currently receives Disability Living allowance of @ £3000 per year for care and getting around.
Someone mentioned to me that if I were to use both of our names on the tenancy agreements as landlords then we can share the tax burden fifty / fifty.
Would I need to place my wifes' name on the deeds to the properties in order to share this tax burden or would the fact that we are both landlords be sufficient?.
I currently pay @ £6000 per year in tax on the rental business and that is when using an accountant. I pay tax PAYE from my full time, soon to be part time employment too.
If we were able to share the tax burden then my wife ( who is not liable to tax as she is long term disabled ), wouldn't pay tax and I would only pay @ £3000 per year.
Does this sound correct and feasible please?.
It would make a great difference to us financially now that my wages will decrease by @ 50%.
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