LETTING & ESTATE AGENT

HMRC’s next step in the fight against landlord’s tax avoidance

HMRC’s next step in the fight against landlord’s tax avoidance

This time round, the HMRC is offering a free online training / help to make sure their tax affairs are in order. It’s part of the HMRC campaign Let Property that is aimed at landlords who have not yet paid / declared rental income.

Head of HMRC Campaigns, Laura Pollard, said: "This package has been developed to help landlords get their tax affairs right from day one. They can also use it to keep them on track in the future.”

The training is aimed at helping the landlord to understand when to pay and how to pay the tax. It seems to be aimed mainly at landlords with few properties only rather than those with larger portfolios. It could actually be a perfect tool for landlords who have no or little experience and are looking to avoid having to pay an accountant for helping them with their tax affairs.

HMRC says that they have started writing to landlords with some 40,000 letters sent so far and some 2,500 people contacting them to put their tax affairs in order. The campaign is also being made available to members of National Landlords Association and the Residential Landlords Association.

Ms Pollard added: "Landlords who have failed to register with HMRC, or who have under-declared or under-paid tax risk being checked by HMRC. If they wait for that to happen, they won’t be able to sort out their tax affairs under the best terms."