Work out the tax on your rental profit under Section 24 rules: mortgage interest is no longer deductible from rental income but gives a 20% tax credit instead, for individual landlords.
Données vérifiées · July 2026
🧮
Fill in the fields to see results in real time
Create a free account to save your calculations, access history, and export to PDF. Upgrade to Pro for all 319 calculators.
Posez-la à Solva, le conseiller financier IA d'ActioFin — réponses sourcées sur les textes officiels.
5 questions gratuites par jour avec un compte gratuit
Since the Section 24 reforms, individual landlords can no longer deduct mortgage interest from rental income before calculating tax — instead they get a 20% basic-rate tax credit on the finance cost. This can push landlords into higher tax bands even when their real cash profit hasn't grown, because the full rent (minus non-finance expenses only) is what counts as taxable income. Limited companies are unaffected — they still deduct interest as a normal expense and pay corporation tax instead.
£18,000 annual rent, £8,000 mortgage interest, £2,000 other expenses, held personally: £16,000 taxable rental profit before the finance cost credit, with a 20% credit of £1,600 applied against the tax due.
Enter your annual rental income and any allowable expenses other than mortgage interest.
Enter your mortgage interest paid for the year.
Add your other income, to work out which tax band the rental profit falls into.
Select whether the property is held personally or through a limited company.
Last data update
July 7, 2026
Sources and references
HMRC — Restricting finance cost relief for individual landlords (gov.uk/guidance/changes-to-tax-relief-for-residential-landlords), 2025/26.
The data in this calculator is updated regularly to reflect the latest official rates. When in doubt, consult the official sources listed above.
No — furnished holiday lettings meeting the qualifying occupancy tests kept full mortgage interest relief until the regime was abolished from April 2025; check the latest FHL rules for your situation.
Not automatically — companies avoid Section 24 and pay corporation tax on profits, but extracting cash as dividends adds a second layer of tax, and transferring an existing property in triggers SDLT and potential CGT.