Do you have to send in tax returns with a loss on rent

[car]

Got asked this today by colleague, this is his first year renting out a property (since apr '08), and he made a loss on the rent vs mort. interest and so didnt think he had to make a tax return.
Just from frequenting here a lot I thought he had to make some sort of a return even if he did make a loss

Can someone clarify? cheers.

 

[murphaph]

He does need to make the return. Even with the likes of rent a room where no tax is payable up to 7k, a return is still required.

 

[theengineer]

It may even be possible to offset his loss against the tax he must pay in his employment. An accountant may be able to help.

 

[Westgolf]

you must make an annual return whatever the financial outcome and no it cannot be used or offset against employee taxes

westgolf

 

[Taxi Driver]

He should definately make a return. He can offset the loss against any future gains to reduce his tax bill in a year he makes a profit. He should also make a return of rental income against all costs not just mortgage interest.

 

[webtax]

He should also make a return of rental income against all costs not just mortgage interest.

And should also be registered with the PRTB in order to claim the mortgage interest as an expense.

 

[Niall M]

It may even be possible to offset his loss against the tax he must pay in his employment. An accountant may be able to help.

rental losses can only be offset against rental profits.