Gross Approval

In order for rental income to be paid gross ie without UK tax withholding, an application is required to be made to the UK Inland Revenue.

Gross Approval is not a right and may, for various reasons, be withheld.

By law, an Agent or Tenant, if paying rents direct to a landlord, must withhold tax at the basic rate applicable at the time of payment and account for that tax to the Inland Revenue on a quarterly basis. A Certificate of Tax Withheld will be provided at the end of the Tax Year.

It is important to understand that the granting of Gross Apporval is not an exemption from paying UK tax. The applicant declares that, where approval is granted, they will submit Tax Returns and pay any tax laibility that may arise.

Failure to comply with the rules for Self Assessment will result in the approval being withdrawn and instructions issued to the Agent/Tenant to commence withholding.