Do you rent out a residential property?
Whether you own 1 or 10 rental properties or even rent out a room in your own house you MUST declare rental income to HMRC.
You may have heard of The Let Property Campaign, this is an opportunity for Landlords to make a full and voluntary disclosure of income they have received through letting out residential property, in the UK or abroad, in a simple way without incurring as hefty a penalty as undisclosed income would usually carry.
I have rental income I haven’t disclosed before, does The Let Property Campaign apply to me?
The Let Property Campaign is an opportunity open to all residential property landlords who have not previously disclosed their rental income, this includes:
However, the campaign in not open to those who are letting out non-residential properties such as; shops, garages or lock ups.
How do I take part in the Campaign?
If you want to claim as an individual, you can notify by clicking here.
How long do I have to take part in the Campaign?
Unlike previous campaigns, there is currently no specific end date to the scheme. However, this will be going on for some time, landlords who delay in coming forward risk higher penalties if they are subject to enquiry and have not already notified an intention to disclose.
If the errors were due to not understanding the rules or genuine error and misunderstanding it is better to come to HMRC to admit these errors rather than waiting until HMRC uncovers those errors.
How much will I incur in penalties?
The Let Property Campaign offers the best possible terms available; it is important to take advantage by notifying your intention to disclose your rental income.
When you first make your disclosure, you can tell HMRC how much you believe your penalty should be, what you pay will depend on why you have failed to disclose your income and if you come forward fairly early.
However, if you do not come forward and HMRC finds later you haven’t declared your income correctly it is harder to convince it was a genuine error. The law allows HMRC to go back 20 years, in serious cases this can lead to a criminal investigation.
Do you offer any services regarding Land and Property?
We certainly do, if you need any help or advice completing Land and Property accounts or Capital Gains return contact one of our team on 01724 848343 or email us at firstname.lastname@example.org for more information.