Section 24 Tax Calculator
The rules have changed. Find out exactly how much the Mortgage Interest Relief restriction is costing your portfolio in 2025.
Your 2025 Tax Forecast
Section 24 is costing you £1,200 per year.
Ollie's AI Tax Advisor can help you find allowable expenses (like repairs vs capital) to legally reduce this bill.
Start Free Trial to Save Tax →How it works: Under Section 24, you can no longer deduct mortgage interest from your profit. Instead, you receive a basic rate (20%) tax credit. If you are a Higher Rate payer (40%), this means you pay significantly more tax on the same income.
What is Section 24?
Section 24 (of the Finance Act 2015) changed the way landlords are taxed in the UK. Previously, you could deduct mortgage interest from your rental income before paying tax. Now, you pay tax on the full rental income and receive a basic rate (20%) tax credit instead.
Who is affected?
This change primarily affects Higher Rate (40%) and Additional Rate (45%) taxpayers who own property in their personal name. Limited companies (SPVs) are exempt from Section 24.