Mortgage payments

Hi John,

I have taken a look and can see you do not use bank feeds. In this case, you can just record your mortgage interest under Dashboard > Manually record expenses. When inputting the expense, you will need to select the Mortgage Interest account.

The 20% tax relief applied to the interest amount will be included in the year end tax calculation. And this can be adjusted via the MTD tax return accounting adjustments if necessary. You can add your MTD Tax return account by hovering over your name at the top right, then click Add MTD Tax Return. You will use this for your year end submission.

Tommy

Hi John,

No problem at all - you're very welcome!

Tommy

OK Thanks Tommy. Wouldn't surprise me if our friends got their wires crossed. I'll post on the forum if this turns out to be correct but I did wonder whats the point of MTD if this is the case.

Hi John,

Thanks very much for the information about the HMRC guidance you received.

However this is contrary to how MTD for Income Tax works. You won't be able to adjust your MTD Tax Return via HMRC online. It can only be done via MTD for Income Tax software. Residential financial costs can only be reported via quarterly updates. I've passed on that information to our Product Manager who will let his contacts at HMRC know that this advice was given. We will let you (and other users) know if it turns our there is actually a secret HMRC back door!

Tommy

Thanks Tommy, makes sense!

FYI I also called HMRC this morning and after quite a while got through to someone helpful who said that you can go into the HMRC website and before your return is submitted you can add the mortgage interest figure seperate to the MTD submissions.

Kind regards

John

Hi Tommy,

Sorry, picking this up late as now looking at this and found this thread.

Must admit I am not clear on how to enter my mortgage data to ensure the 20% relief is applied, I have looked at the above link and I am nervous incase I inadvertantly record my finance as income or something disasterous, please can you maybe help out in one of three ways please:-

• Can clearbooks add a specific field in the BTL version to record this as it is pretty essential for landlords
• Or is there the ability to just add this into the HMRC tax return on the HMRC website as was the case before MTD? Do you know if this is still possible?
• Could you add a worked example, similar to the link but just more of a "Dummys Guide" for those of us who arent necessarily finance experts.

Many thanks

John