I own a property in Italy that I am

I rent my property out in Italy and live in the UK. I file the property with my UK tax return . You need to fill in foreign pages form. Phone the tax people in the UK they are very helpful when you are filling in the form . Keep all your receipts etc

The property is in Italy, so the income is earned in Italy and therefore you declare the earnings in Italy.

Both Little Sparrow and Modicasa are correct in part.The income is taxable in Italy (very few if any deductions) and an �� tax return is needed.As a UK tax resident the income is also taxable in the UK and must be included on your UK tax return. The �� tax is claimed as foreign tax paid and is deductible from the UK tax (up to the amount of the UK tax)Because of the lack of deductions in calculating the amount taxable in Italy the amount taxable in the UK is usually less (frequently much less). This coupled with the effective rates of tax mean that for a basic rate UK taxpayer no additional tax is likely. For a higher rate taxpayer a little additional UK tax may be payable - it all depends on the expenses for UK tax purposes.Hope that helps.Panner

Many thanks , I dread the thought of filling in an �� tax form !

Little Sparrow Regardless of how experienced you are dealing with UK tax and filling in UK returns I suggest to get a commercialista to complete and submit the �� tax return unless you are very fluent in �� and understand the tax system. If the only income is the rental income then it should not cost too much - there are some international accountants that can do it (likely to be pricier) or a commercialista local to where your property is.

Many thanks for the advice, I have a commercialista who sorts out my council tax so I will pop and see her in July. I have all my English paper work,recipts and accounts, it's only one property the rentals are not expensive and do not make a profit ..it just helps with the cost of running the house.