Real Estate, Property & Landlord Accounting
Accountancy Made Simple from only £89/month
Mortgage interest that no longer reduces your taxable profit, quarterly reporting obligations, and holiday lets taxed like any other let. Caroola gives landlords and property businesses a dedicated accountant who works with property every day, on a fixed monthly fee.
Property is taxed differently to almost any other business, and rarely in the landlord’s favour.
Specialist Accounting Support for Landlords and Property Businesses
Our property accounting services are provided by accountants who work with landlords and property investors constantly, not a generic small business template.
You’ll get your own dedicated accountant, not a shared inbox or a rotating support team.
Support is unlimited, and quarterly check-ins mean your accountant is looking at your portfolio throughout the year, not once, twelve months after the fact.
- Cloud accounting software included
- Cloud accounting software included
- Self Assessment or Corporation Tax, depending on how you hold the property
- Quarterly Making Tax Digital submissions where they apply to you
- Advice on allowable expenses and finance cost relief
- Guidance on holding property personally or through a company
- VAT registration and returns where relevant
- Support switching from another provider
Who are these services for?
At Caroola, we work with property owners of every structure; sole traders, partnerships, LLPs and limited companies, whatever the size of the portfolio.
That covers buy-to-let landlords, accidental landlords with a single property, HMO operators, holiday let owners, property investors and developers, and estate and letting agencies running as businesses in their own right. Whether you own one flat or fifty, we can help.
What Makes Property Accounting Different?
Most businesses are taxed on what they make. Landlords increasingly are not. The finance cost restriction means a higher rate taxpayer can be taxed on rent before the mortgage is paid, then given relief back at a lower rate, and the gap between those two numbers is real money.
How you report has changed as much as what you owe.
Making Tax Digital:
Landlords holding property personally keep digital records and file quarterly updates rather than one annual return, once their qualifying income passes the threshold. That threshold reduces in stages to £20,000, so most landlords are brought in eventually.
The finance cost restriction:
Mortgage interest on residential property isn't a deduction. It's a credit worth 20% of the interest, which affects higher and additional rate taxpayers most.
Holiday lets:
Taxed the same as any other property business, with restricted interest relief, no capital allowances on new spending, no capital gains reliefs on sale, and profits that don't count as earnings for pension purposes.
Capital gains on disposal:
Selling a residential property that isn't your main home means reporting and paying within 60 days of completion, separately from your tax return.
Personal or company ownership:
Companies aren't caught by the finance cost restriction, but moving property you already own into one is a disposal, with the tax consequences that follow.
Why Choose Caroola for Property Accounting?
Built for Portfolios
Advice that treats your properties as one business rather than a pile of separate returns.
Fixed Monthly Fees
One price, agreed upfront, that won't creep up as your portfolio grows.
Your Own Accountant
Work with one dedicated accountant who understands property, not just trading businesses.
No Hidden Costs
Clear pricing throughout
Grows Alongside Your Portfolio
From your first rental to a property company with staff, your package adapts.
How Much Does Property Accounting Cost?
Your core accounting is one fixed fee, whatever the size of your portfolio.
Packages start at £28 + VAT a month if you hold property personally and £89 + VAT a month for limited companies, with partnerships and LLPs priced around your setup.
Payroll for employees, bookkeeping, or management accounts are priced separately or included with an upgraded package, and always agreed with you first.
Sole Trader
- Self Assessment filing
- Bookkeeping software
- Dedicated accountant
- MTD ITSA software
- Corporation Tax & VAT filing
- Annual Accounts
- Real-time tax insights
Limited Company
- Self Assessment filing
- Bookkeeping software
- Dedicated accountant
- MTD software
- Corporation Tax & VAT filing
- Annual Accounts
- Real-time tax insights
Partnerships & LLP
- Self Assessment filing
- Bookkeeping software
- Dedicated accountant
- MTD ITSA software
- Corporation Tax & VAT filing
- Annual Accounts
- Real-time tax insights
Speak to a Property Accountant Today
Ready to work together or interested in learning more? Get in touch with the team to start a conversation.
FAQs
- Do I Have to File Quarterly?
If you hold property personally and your combined gross income from property and self-employment is above the Making Tax Digital threshold, yes. You keep digital records, submit four updates a year and submit your tax return after making any final adjustments. The threshold is being lowered in stages towards £20,000, so landlords who fall outside it today are likely to be brought in. It doesn’t apply to property held through a limited company.
- Why Can't I Deduct My Mortgage Interest?
You can still get relief, just not as a deduction. For residential property held personally, finance costs give you a credit worth 20% of the interest rather than reducing your taxable profit. If you’re a basic rate taxpayer the effect is broadly neutral. If you’re a higher or additional rate taxpayer it costs you, and it can also push your income high enough to affect allowances and child benefit.
- How Are Furnished Holiday Lets Taxed?
The same as any other property business. The separate holiday letting regime no longer exists, so the finance cost restriction applies, new spending doesn’t attract capital allowances, the capital gains reliefs aren’t available on sale, and profits don’t count as earnings for pension contributions. If your plans were built around any of those, the position needs revisiting.
- Should I Move My Properties Into a Limited Company?
Sometimes, but it’s rarely as simple as the finance cost saving suggests. Transferring property you already own is treated as a disposal at market value, so capital gains tax and stamp duty can both arise, and mortgages usually need refinancing at higher rates. It tends to work better for larger portfolios and for property being bought rather than property already held. We’ll model both before you decide.
- When Do I Pay Tax on Selling a Rental Property?
Usually within 60 days of completion. Disposals of UK residential property that isn’t your main home have to be reported and the tax paid on account within that window, which is separate from and earlier than your normal tax return. Missing it brings penalties even when the tax itself is eventually right, so tell us before you exchange rather than after you complete.
- Can I Switch to Caroola Part-Way Through the Year?
Yes. No need to wait for year end. We manage the handover with your current provider.
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