United Kingdom tax - need to rent out main home

[Stewart132]

Hello,

Due to unforeseen circumstances we need to move from Hampshire to Yorkshire for my partner's job. This may mean we end up continuing to own the house in Hampshire (it is mortgaged and we both own 50%) and we will be renting a house in Yorkshire (we don't know how long my partner will do her job for so we can't commit to buying).

My partner can work remotely in Hampshire for 1 week per month (so 8-9 days  - 1 week plus the 2 weekends each side). I'll need to be in Hampshire 2 days (so 2 nights) per week for my job (if the house is not booked for airbnb I will stay in our house, otherwise I will stay with a relative) plus I'll stay down for the week my partner works remotely (so I will be in Hampshire about 14-15 days per month). So my partner and I will be in our Hampshire house for 8-9 days per month and between 8-9 to 14-15 days respectively. 

Please does anyone know what the tax implications of this are? Or please could someone point me in the right direction for finding out?

I assume the £7500 tax exemption doesn't apply in our case? Should we consider moving our house into a limited company?

Thank you for any pointers!  🙂

[Stewart132]

(or are we going to be taxed so much that we should just sell the Hampshire home now?)

[Paula]

Hello @Stewart132, I hope everything is well with you. 

Have you had a chance to read Helen's suggestion? Have you considered contacting an accountant?

Regards,

[Helen3 · Accepted solution]

An accountant will be able to advise you on tax implications and whether you should yet up a limited company . @Stewart132 

The £7500 rent a room tax scheme is for those offering a room in the home you're living in.