Posted December 29, 2025

Don’t Leave It Until January: Why Property Investors Need Professional Tax Support Now

With one month to go until the self-assessment deadline on 31st January 2026, property investors across the UK are facing one of the most complex tax returns in recent years. If you own rental properties or manage a property portfolio, the stakes have never been higher for getting your tax return right.

Why Property Tax Returns Are More Complicated Than Ever

Tax on property income has become increasingly intricate. Between mortgage interest restrictions, capital allowances claims, and the nuances of furnished holiday lets versus standard buy-to-lets, there are numerous opportunities to either optimise your tax position or inadvertently overpay.

Many property investors we speak to are surprised to learn they’ve been missing legitimate deductions or, worse, have structured their affairs in a way that costs them thousands in unnecessary tax each year. The difference between filing a basic return and one prepared by specialists who understand property taxation can be substantial.

Common Pitfalls for Property Investors

Mortgage Interest Relief Miscalculations: Since the full restriction of mortgage interest relief, landlords can only claim a 20% tax credit rather than a deduction. Many investors struggle to calculate this correctly, particularly when they’re higher-rate taxpayers or when the restriction pushes them into a higher tax bracket.

Missing Allowable Expenses: From property management fees and insurance to maintenance costs and travel expenses, there’s a comprehensive list of allowable deductions. We regularly find clients who’ve missed claiming genuine expenses.

Capital vs Revenue Expenditure: Understanding whether work on your property counts as a repair (deductible) or an improvement (capital expense) can be challenging. Getting this wrong triggers either overpayment or unwanted HMRC attention.

Furnished Holiday Lettings: If you’re running holiday lets, there are special tax rules that can be highly beneficial, but the qualifying criteria are specific and must be carefully documented.  These rules are being abolished for the 2025/26 tax year so this is the last year to make sure your FHL income is correct.

The January Rush: Why You Shouldn’t Wait

Every January, we receive dozens of calls from stressed property investors who’ve left their returns to the last minute. By then, gathering all the necessary documentation, reconciling rental income across multiple properties, and optimising the return becomes a pressured scramble rather than a strategic exercise.

Starting now gives you time to review your position properly, identify planning opportunities for the current tax year, and ensure nothing is missed. It also means you can address any complications without the 31st January deadline looming over you.

What Property Investors Should Have Ready

If you’re preparing to complete your self-assessment, having these documents organised will streamline the process:

• Monthly rental income statements for all properties
• Letting agent statements if you use property management services
• Mortgage interest statements and loan documentation
• Records of all property-related expenses with supporting invoices
• Details of any property purchases or disposals during the tax year
• Capital expenditure documentation for any improvements or renovations

Beyond Compliance: Strategic Tax Planning for Property Portfolios

A good accountant does more than simply file your tax return. For property investors, the real value lies in strategic planning that reduces your tax burden legally and sustainably.

This might include advice on structuring future property purchases, incorporating your portfolio, pension contributions (if sufficient pensionable earnings are available) to reduce your adjusted net income, or timing of major expenses to optimise tax relief.

Why Specialist Knowledge Matters

Property taxation sits at the intersection of income tax, capital gains tax, and increasingly, stamp duty land tax considerations. General tax knowledge isn’t enough. You need accountants who work regularly with property investors and understand the specific reliefs, pitfalls, and planning opportunities available.

We’ve helped numerous landlords and property investors not just meet their compliance obligations, but structure their affairs to minimise tax legally while building sustainable wealth through property. The difference between generic tax advice and specialist property tax knowledge can amount to thousands of pounds annually.

Take Action Now

With the 31st January deadline approaching rapidly, now is the time to ensure your tax return is handled professionally. Whether you own a single buy-to-let or manage an extensive portfolio, the complexity of property taxation demands expert attention.

Don’t spend your New Year’s Eve buried in tax forms and rental statements. Let us handle the complexity while you focus on growing your property portfolio. Our team specialises in working with property investors and understands the unique challenges you face.

Contact us today to discuss your self-assessment return. We have capacity to take on new property investor clients before the deadline, but spaces are filling quickly as January approaches. Get in touch now and start the new year with confidence that your tax affairs are optimised and compliant.

The deadline may be a month away, but peace of mind is just one phone call away.