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Tax year 2026/27 · rates verified Aug 2026

UK landlord tax, calculated properly

Free calculators and plain-English guides for landlords — rental income tax, capital gains, the stamp-duty surcharge and Making Tax Digital. Every rate on this site names its source and the date we checked it against HMRC and gov.uk.

Why trust the numbers

Sourced, dated, and honest about what changed

Most landlord-tax pages were written for a previous tax year and never touched again. This site works differently: every rate lives in one verified data file, checked against primary sources — gov.uk, HMRC manuals, Revenue Scotland, the Welsh Revenue Authority — on a date we print.

The November 2025 Budget is the perfect example. Half the internet says landlord tax “went up”; the other half hasn’t noticed. The sourced truth: new 22%/42%/47% property rates exist, but start April 2027 — while dividend rates rose this April and the rumoured NIC on rents was dropped. The full dated timeline is here.

What changed for 2026/27 — at a glance

Property income rates20/40/45% (unchanged — 22/42/47% from Apr 2027)
Section 24 credit20% (22% from Apr 2027)
Dividend rates10.75/35.75/39.35% (rose Apr 2026)
NIC on rental incomeNot introduced
CGT on residential18/24%, £3,000 allowance
MTD threshold£50,000 — live now

gov.uk Budget measures page, Finance Act 2026, gov.scot factsheet — read 29 Aug 2026.

Common questions

Straight answers

Rental profit is added on top of your other income and taxed at your marginal rate — 20%, 40% or 45% in England, Wales and NI (Scotland uses its own bands, up to 48%). Mortgage interest isn't an expense any more: you get a 20% credit on finance costs instead (Section 24). Our rental income tax calculator does the whole computation — salary plus rent, the credit, the £1,000 property allowance comparison — using rates verified against gov.uk.

Not yet — but it will. The Budget created separate property income tax rates of 22%, 42% and 47%, starting 6 April 2027 (England & NI). For 2026/27 property income is still taxed at 20/40/45. What DID change this year: dividend rates rose to 10.75%/35.75% from April 2026. And the heavily-rumoured National Insurance on rents was explicitly not introduced. Our tax-changes guide has the sourced timeline, and the calculator has a 2027 preview mode.

From 6 April 2026 it applies if your gross income from property plus self-employment was over £50,000 in 2024/25 — quarterly digital updates through recognised software, with the threshold falling to £30,000 in April 2027 and £20,000 in April 2028. Limited companies are outside it; partnerships are deferred. The MTD checker gives you a dated answer in three questions.

Free, no sign-up, no spreadsheet download wall. Every rate comes from one verified data file sourced against gov.uk, HMRC, Revenue Scotland and the Welsh Revenue Authority — the source and the date we checked it are printed on each page. When a Budget changes something, we update the file and every calculator and guide updates together.

No — it's accurate arithmetic and sourced explanation. Calculators estimate; they can't see reliefs, loss brought forward, or the quirks of your position. For decisions that matter, take the numbers from here to HMRC guidance or a qualified adviser — you'll have a much better conversation walking in with the right starting figures.