MTD for foreign property income
Foreign property income can count for MTD if you are UK tax resident and declare it on your UK Self Assessment return. HMRC uses the gross amount, before expenses.
By Mehmet Demir · Last reviewed: 2 May 2026 · Source: HMRC · Methodology
Bottom line
UK residents should include foreign property income declared on UK Self Assessment in their qualifying-income total. Add it to UK property income and self-employment turnover.
Gross foreign rent
Use the gross rent before local agent fees, repairs, mortgage interest, foreign tax, travel, or currency-transfer costs. The threshold test is not based on taxable profit.
UK resident versus non-resident
Foreign property income is most relevant for UK tax residents who declare worldwide income. Non-UK residents with UK property should focus on UK-source qualifying income.
FAQs
Does foreign property income count for MTD?
Do I deduct foreign tax first?
Does UK property combine with foreign property?
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Start the checkThis guide is general information, not professional tax advice. Always verify against HMRC's official guidance or speak to a qualified accountant.