Accountants for Non Resident Landlords in London
If you own UK property and live abroad, HMRC treats you as a non resident landlord. Your tenant or letting agent may be deducting basic rate tax from your rent, you still have to file a UK Self Assessment return, and from April 2026 Making Tax Digital applies to you as well.
Clients living overseas are routine for us, not an exception. A large share of our landlord clients are outside the UK for most of the year, and the practice runs on systems rather than one person’s inbox, so you get the same response times whatever your time zone.
What Do Non Resident Landlord Accountants Do?
GM Professional Accountants is a London based firm that handles UK tax for landlords living overseas: registering under the Non-resident Landlord Scheme, applying for rent to be paid gross, filing Self Assessment and the SA105 property pages, reporting property disposals within 60 days, and moving clients onto Making Tax Digital.
In practical terms we act as your UK agent with HMRC so you are not dealing with letters and deadlines from another country. HMRC’s own guidance for landlords living abroad is on GOV.UK.
The Non-Resident Landlord Scheme, Explained
| Item | The rule |
|---|---|
| Who counts as non resident | Anyone living abroad for six months or more a year, whatever your tax residence status |
| Who deducts tax from your rent | Your letting agent. If there is no agent and rent is over £100 a week, your tenant must do it |
| How much they deduct | Basic rate tax on the rent, after allowing for expenses they have paid |
| Getting rent paid gross | Apply on form NRL1i. Companies use NRL2, trustees use NRL3 |
| Whether HMRC approves it | Only if your UK tax affairs are up to date |
| Self Assessment | Still required, unless HMRC tells you otherwise, even if rent is paid gross |
Getting NRL1i approved is usually the single biggest cash flow improvement available to an overseas landlord, because it stops basic rate tax coming off the rent before it reaches you. It depends on your filing record being clean, which is the part we fix first.
Making Tax Digital Applies to You Too
This surprises most overseas landlords. HMRC is explicit that you follow the Making Tax Digital rules for your UK property income even if you are resident or domiciled outside the UK, provided your qualifying income crosses the threshold.
| Qualifying income | Based on tax year | You must use MTD from |
|---|---|---|
| Over £50,000 | 2024/25 | 6 April 2026 (already live) |
| Over £30,000 | 2025/26 | 6 April 2027 |
| Over £20,000 | 2026/27 | 6 April 2028 |
Qualifying income is gross rental income before expenses, so landlords often cross the line earlier than they expect. We set clients up on Xero well ahead of their start date. See our page on Making Tax Digital for landlords.
Selling UK Property While You Live Abroad
Non residents must report every disposal of UK property or land within 60 days of completion, even where there is no tax to pay. That is stricter than the rule for UK residents, and it catches people who assume a loss or a small gain means nothing needs filing.
We handle the UK Property Disposal return alongside the Self Assessment. If a sale is coming, see Capital Gains Tax accountants.
How We Work With Clients Overseas
- We become your UK agent. HMRC authorisation so the letters and deadlines come to us, not to an address you no longer live at.
- We get your filing record clean. This is what unlocks an NRL1i approval and gross rent.
- We work to your time zone. Calls booked around where you actually are. Overseas clients are routine here.
- Four eyes on every return. One accountant prepares, a second checks before filing. If someone is away, your work does not wait.
- We keep records digital. Open banking feeds and a client portal, which is also what MTD will require.
Client Scenario
Situation
A landlord living overseas came to us worried about keeping on top of UK tax rules from abroad, with records spread across email and unclear on whether rent should be taxed at source.
What we did
We registered as UK agent, brought the filing record up to date, applied on NRL1i so rent could be paid gross, and moved the bookkeeping onto a digital system ready for Making Tax Digital. A second accountant reviewed the return before submission.
Result
Rent now arrives without tax deducted at source, the records are in one place, and deadlines are tracked by us rather than remembered by the client.
Illustrative scenario based on the type of work described in our client reviews. Figures are not shown because every landlord’s position differs.
Frequently Asked Questions
Who counts as a non resident landlord under HMRC rules?
Anyone who owns UK rental property and whose usual place of abode is outside the UK for six months or more during a tax year is treated as a non resident landlord by HMRC.
Do I need to file a UK Self Assessment if I live abroad?
Yes. All non resident landlords with UK rental income must register for Self Assessment and file a UK tax return each year, whether or not their tenant or letting agent deducts tax at source.
What is the NRL1 form and how does it help me?
NRL1 lets individual non resident landlords apply to HMRC to receive UK rental income gross, with no tax deducted at source. Companies use NRL2 and trustees use NRL3.
Do I pay Capital Gains Tax if I sell UK property while living overseas?
Yes. Non residents must report and pay UK CGT on residential and commercial property disposals within 60 days of completion using HMRC’s UK Property Disposal online service.
Can I claim mortgage interest as a non resident landlord?
Individual landlords receive a basic rate tax credit for finance costs rather than a deduction from rental profits. Non resident companies usually deduct interest in full, subject to corporate interest restriction rules.
Do you work with landlords outside London?
Yes. While our office is in London, we act for non resident landlords across the UK and around the world, with secure online onboarding and document sharing.
Key Takeaways
- You are a non resident landlord if you live abroad for six months or more a year.
- Your agent or tenant deducts basic rate tax from rent unless HMRC approves form NRL1i.
- Self Assessment is still required, even when rent is paid gross.
- Making Tax Digital applies to non residents with UK property income once you cross the threshold.
- Every UK property disposal must be reported within 60 days, even with no tax to pay.
GM Professional Accountants is a London based accountancy firm with experience since 2012 helping landlords, property investors and company directors across London, Essex and overseas. AAT licensed, with 150 plus five star reviews and a 5.0 rating on Google.
Every return is prepared by one accountant and checked by a second before it is filed, so your work does not depend on one person being at their desk. Working across time zones is routine for us.
Contact us on 0208 396 6128, email Info@gmpa.co.uk, or see our Self Assessment services.
Living Abroad With UK Property?
Book a free consultation. We will tell you whether you can get rent paid gross, and when Making Tax Digital starts for you.
Disclaimer: This page is for general guidance only and does not constitute financial or tax advice. Your position depends on where you are resident and on any double taxation treaty. Please speak to a qualified accountant before acting.
