Landlord Tax: An Overview
The main taxes that affect landlords and how they interact.
Landlords in England are subject to several taxes: income tax on rental profits, capital gains tax on disposal of rental properties, stamp duty land tax on purchase, and (if using a limited company) corporation tax. Understanding how these taxes work — and how to manage them legally — is essential for any landlord.
This handbook provides a plain English guide to landlord taxation. It is not a substitute for professional tax advice — for complex situations, always consult a qualified tax adviser or accountant.
Tax law changes frequently. Always check current rates and rules with HMRC or a qualified tax adviser. The information in this handbook is current as of May 2026.
The tax landscape for landlords
The tax landscape for landlords has changed significantly in recent years. The mortgage interest restriction (Section 24) has reduced the tax relief available on mortgage interest. Making Tax Digital is being extended to landlords. And the debate about personal vs limited company ownership continues.
Understanding the current landscape — and planning accordingly — can make a significant difference to your after-tax returns.