Be warned! The UK Taxman is clamping down on landlords who failed to declare their rental income.
Obviously, this is a crime. I am not sure why these people decided not to declare. It would not be difficult for the taxman to check. Already, they have 'named and shamed' four landlords, owing from £29,500 to £152,000 in tax.
Remember to declare your income and pay the taxes!
Here is a link to the UK Taxman website on their latest campaign -
https://www.gov.uk/let-property-campaign
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Full article from -
http://www.lettingagenttoday.co.uk/615-landlords-named-and-shamed-by-hmrc
A week after an HMRC announcement that it was clamping down on landlords failing to declare rental income, four landlords have been ‘named and shamed’ on the Revenue’s latest list of large-scale tax defaulters.
The four - from London, Wiltshire, Ayr and Hertfordshire - owe from £29,500 to £152,000 in tax and have now additionally been obliged to pay penalties ranging from £11,850 to a staggering £168,000.
Only one landlord has previously appeared on the large-scale tax defaulters list published periodically by the HMRC.
“These are people who have received penalties for either deliberate errors in their tax returns or deliberately failing to comply with their tax obligations,” according to a statement from HMRC.
The Revenue publishes this information after completing a tax investigation and final penalties for defaulting on tax payments are imposed. The four landlords were among 25 defaulters named on the latest list published this month by HMRC.
In a piece of good timing, the UK’s largest property franchise is this week producing a 15-page guide to buy-to-let tax issues.
Martin & Co has teamed up with experts at Tax Insider to produce the guide, looking at the importance of tax planning, reliefs and exemptions. It is now being offered to landlords who take part in Martin & Co’s Big Landlord Survey.
This survey aims to produce data on landlord’s thoughts, problems and aspirations. Landlords are being invited to answer questions ranging from internet use to future investment plans.
“We know a large proportion of landlords are considering buying more investment properties but unfortunately only a select few consider the tax implications of their investment strategy before they decide to invest. Instead, they take a view that they will address the tax issues when they decide to dispose of the property” says Martin & Co chief executive Ian Wilson.
Last week the HMRC announced that computer-based seminars, purpose-built for landlords, would be made available to landlords who have so far not registered to pay tax, have under-declared their earnings or under-paid tax.
HMRC has also started writing to about 40,000 landlords about their tax as part of the campaign. So far, more than 2,500 have voluntarily contacted HMRC to put their tax affairs in order under the Revenue’s ‘Let Property’ campaign.
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Happy Investing!
