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In particular non resident companies that are subject to uk income tax on uk source rental profits see the taxes on corporate income section for more information will find their letting agent or tenants are obligated to withhold the appropriate tax at source currently 20 without any allowances from their rental payments unless the.
Income tax withholding uk. In the uk tax codes are used to ensure that employees are paying the correct amount of tax. The most common tax code for people who have one. A 20 withholding tax applies to royalties yearly interest certain qualifying annual payments and rents paid by a uk letting agent or tenant to a non resident company subject to reduction under an applicable income tax treaty and in the case of rents the non resident landlord scheme. Hmrc will provide you with your tax code and your code may change if your employment situation or income changes.
Additional legislation will provide obligations to deduct income tax at source from royalties paid to non resident persons effective from 28 june 2016.
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