Landlord tax calculator
Estimate how much tax you’ll pay on your rental income, including the Section 24 mortgage interest tax credit. See your effective rate and net income.
Section 24 explained
Since April 2020, individual landlords cannot deduct mortgage interest from residential rental income. Instead, you get a 20% tax credit, worked out on the lowest of your interest, your rental profit and your taxable income above the Personal Allowance. Any interest not relieved carries forward. This hits higher-rate taxpayers hardest. How HMRC works it out
What counts as allowable expenses?
- • Repairs and maintenance (not improvements)
- • Insurance premiums
- • Letting agent fees
- • Legal and accountancy fees
- • Ground rent and service charges
- • Council tax (if paid by landlord)
- • Utility bills (if paid by landlord)
Making Tax Digital
From 6 April 2026 you must use Making Tax Digital for Income Tax if your qualifying income from property and self-employment was over £50,000 on your 2024/25 tax return. Tendmere prepares digital records and review packs; production HMRC submission is not enabled.
Free calculator
Landlord tax calculator
Enter your rental income to estimate your tax position
Estimate for the 2026/27 tax year (6 April 2026 to 5 April 2027) using the rates for England, Wales and Northern Ireland. Mortgage interest gets a 20% tax credit, limited to your rental profit and taxable income. The Personal Allowance reduces above £100,000 and 45% applies above £125,140.
Not included: Scottish income tax rates, savings and dividend income, the £1,000 property allowance, losses or interest brought forward from earlier years, pension contributions and Gift Aid, National Insurance and student loans. New property income rates start in April 2027. This is not tax advice.
Prepare the tax records for review
Use SA105-aligned categories and reviewed figures, then export them for your own checks or accountant handoff. This is not tax advice or production HMRC filing.
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