Adjusted net income for child benefit and rental income

[Megan2018]

Hi, anyone on here able to advise on how Adjusted Net Income is calculated with respect to income from a BTL?

I have a salary of £48,677 and pay 8.5% into the LGPS pension scheme.
My gross rental income on a BTL is £11,100 (before any deductions).

I know the pension contributions are deducted - but is all of the £11,100 rental income counted or are any deductions made? My self assessment varies but I am usually taxed on about £7k of the £11,100 once all the allowable deductions are made.

My salary increase in August will tip me over £60k gross with the BTL income and salary combined (baby due Sept), but after mat leave hope to reduce hours slightly so that in total I end up just below the £50k CB threshold. So ongoing I probably won't have a tax charge, but for the first year I think I will?

The BTL is net after allowable expenses, but be aware that not all mortgage interest is allowable these days.

It is your rental profits that count ie the amount that goes into your tax return.

The tax year runs from April to April so you should be under for this year too.

@Winebottle gross or net profit though?

@Megan2018 may I ask if you found the answer to this please as I'm currently trying to figure the same out myself! Thanks in advance