PIM4476 | Property allowance: other considerations: student loans

When considering Student Loans, regulations refer to a repayment amount equal to 9% of the student loan borrower’s total income. Total income should not include unearned income if it does not exceed £2,000. However, if unearned income is in excess of £2,000 then the full amount should be included in total income.

If an individual uses the property income allowance, then they do not need to include the income which is relieved by the allowance when calculating their total income for student loan repayments.

For more information regarding Student Loans in Self Assessment visit https://www.gov.uk/guidance/tell-hmrc-about-a-student-loan-in-your-tax-return.