Question:
I have a mortgage-free rental property. Is rental income taxable at 50:50 for married couples if my wife is not shown on the deeds? There is no outstanding mortgage.
Arthur Weller replies:
No, it is not taxable 50:50. For the 50:50 rule to apply, the property has to be in joint names. See HMRC’s Trusts Settlements and Estates Manual at TSEM9810, which states: ‘If property is held in the name of only one spouse or civil partner the special rules do not apply.’
