Understanding The SA105 Form For Property Income

Taxes are complicated, and tax form names certainly don’t help. Who’s meant to know what an SA105 Form is with a name like that, anyway?

Well, there’s method in the madness, even if it doesn’t look like it a glance; SA stands for Self Assessment, and the SA105 Form is a document that certain taxpayers need to submit alongside their yearly Self Assessment tax return in order to account for their earnings.

In this article, we’ll take you through all the essential details regarding the SA105 Form, including who needs to submit one, what it covers, and how Crunch can help you get it sorted.

What is an SA105 Form?

An SA105 Form is a document that all those who earn an income from property in the UK must complete in order to determine their tax bill.

The form should be completed and submitted alongside your yearly Self Assessment tax return (also known as an SA100 – see, the naming convention is starting to make some sense!).

Who needs to fill in an SA105 Form?

You’ll need to complete an SA105 Form if:

• You receive income from rental properties, including Airbnb;
• You receive income from rental land;
• You receive income from Furnished Holiday Lettings (FHL) accommodation either the UK or the EEA;
• You receive premiums for leasing UK land.

However, you won’t need to submit the SA105 if:

• You make income from other foreign properties based outside of the UK;
• You make income from REITs (Real Estate Investment Trusts) or peer-to-peer property loans;

You also don’t need to complete this form to account for any Capital Gains from selling property.

Do I need to complete an SA105 Form if I file my Self Assessment online?

Nope – SA105 Forms are only required for those submitting Self Assessments in paper format.

If you are planning on submitting your Self Assessment in this way, we highly recommend making the switch to digital Self Assessment filings.

Not only is the process more complicated when you submit a paper tax return, but given the government’s ongoing Making Tax Digital project, we fully expect these sorts of physical submissions will be retired and moved online in the near future.

Better to get ahead of the curve and start filing digitally now. If you need any support with the transition, don’t forget to speak to our experts here at Crunch who can help you get started.

How do I complete an SA105 Form?

If it’s your first time filling in an SA105, you can download the form from the gov.uk website. If you’ve submitted one in the past, HMRC may send you one for the new tax year.

Regardless of whether you download the file or receive one in the mail, be sure to check the UK Property Notes files that HMRC makes available for each tax year; it’s an incredibly handy document for first-time filers, explaining each line of the SA105 Form and how to complete it without error.

Across the document, you’ll be asked to provide the income from all of your rental properties. This is broken up into two sections:

• In the first section, you’ll need to enter the total income you’ve earned from all Furnished Holiday Lettings you own in the UK.
• In the second section, you’ll need to provide the total rent and income you’ve earned from all other properties.

Some of the notable sections in the SA105 From include:

• Property Income Details, including the address and property type for all the rentals that you earn an income from.
• Allowable expenses, which can be deducted from the rental income for tax purposes. Check out our guide to expenses to make sure your claims are accurate and comprehensive.
• Rental income, covering your gross rental income across the tax year across all of your properties.
• Rent A Room Relief, which allows you to earn up to a threshold of £7,500 per year tax-free.
• Private Use Adjustment, which allows you to adjust your expenses if a property was used for private use at any point over the course of the tax year.

What do I need to complete my SA105 Form?

Before you start filling in your SA105, make sure you have the following information on hand:

• Your Unique Taxpayer Reference.
• All relevant information related to your UK properties, such as the number of properties you currently rent out, details relating to joint ownership, and claims for Rent A Room Relief.
• All relevant details regarding your Furnished Holidays Lets, such as your income, expenses, and any reliefs you currently claim.
• Any relevant expenses that you claim on your standard Self Assessment.

How do I submit my SA105?

Your SA105 Form cannot be submitted alone. You’ll need to submit it alongside your Self Assessment, which you need to file each year ahead of the January 31^st deadline.

If you’re submitting paper copies of your Self Assessment to HMRC, you’ll need to post it and your SA105 Form to:

Self Assessment 

HM Revenue and Customs 

BX9 1AS 

United Kingdom

How Crunch can help

As we’ve already mentioned, you don’t need to submit an SA105 Form if you’re filing your Self Assessment tax return online. So why cause yourself the extra stress, when the friendly experts here at Crunch can handle the hard work for you?

We offer a range of accountancy packages to help support all kinds of self-employed people, including landlords. We can take the stress and complexity of Self Assessment submission of your hands for as little at £140+VAT. 

All you need to do is upload your documents to the software, and we’ll take care of the rest!

Don’t forget that with Making Tax Digital still rolling out across the UK economy, it’s only a matter of time before submitting physical SA105 Forms will be retired and everything will need to be completed online. Get ahead of the curve and start submitting your Self Assessments online with Crunch!

For more information, head over to our Pricing page, or give one of our friendly experts a call for a free consultation.