Joe Brough outlines how rental profits are split for joint owners, along with how Form 17 can be used to split rental profits between spouses and civil partners.
Where property is owned jointly with a spouse or civil partner who live together, the default position (under ITA 2007, s 836) is for the rental profits to be split equally regardless of the underlying capital ownership.
Exceptions to the rule
As with a lot of things tax-related, there are exceptions to rules, and this area is no different. The equal split of profits between spouses is not applied in the following circumstances:
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The rental income is from a furnished holiday letting (FHL) business.
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The rental income is from a partnership.
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A valid declaration (Form 17) has been made as to how the
