Let Property

You have to pay:

• Income Tax on your rental income, minus your day-to-day running expenses
• Class 2 National Insurance if the work you do renting out property counts as running a business
• If you have a mortgage on the property you want to rent out, you must get permission from your mortgage lender.

The Let Property Campaign is an opportunity for landlords who owe tax through letting out residential property, in the UK or abroad, to get up to date with their tax affairs in a simple, straightforward way and take advantage of the best possible terms. The Let Property Campaign is an opportunity open to all residential property landlords with undisclosed taxes. This includes:

• those that have multiple properties
• landlords with single rentals
• specialist landlords with student or workforce rentals
• holiday lettings
• renting out a room in your main home for more than the Rent a Room Scheme threshold
• If you live abroad or intend to live abroad for more than 6 months and rent out a property in the UK, you may still be liable to UK taxes

This campaign is not open to those landlords who are letting out non-residential properties such as a shop, garage or lock up.

Unlike previous campaigns, there is no disclosure ‘window’ requiring you to disclose what you owe by a specific date.

This campaign will be ongoing for some time; however, landlords intending to come forward who delay risk higher penalties if they are subject to an enquiry and they have not already notified an intention to disclose.

Regardless of whether the errors were due to misunderstanding the rules or deliberately avoiding paying the right amount it is better to come to HMRC and admit any inaccuracies rather than wait until HMRC uncovers those errors.

The Let Property Campaign offers the best possible terms available to get your tax affairs in order.