Posted: May 29, 2014
Landlords are being offered online training in tax matters from HM Revenue and Customs (HMRC) as part of its Let Property Campaign.
As well as the online tax training, HMRC has also started writing to about 40,000 landlords about their tax.
The Let Property Campaign is aimed at people renting out residential property who have not registered for tax or have not paid enough tax.
The campaign is open to all residential property landlords with undeclared income, and will be running for at least 18 months from its launch; HMRC has not given a date for when it will close.
Unlike most previous campaigns that have two deadlines (one to notify HMRC and a final one to make the disclosure), the opportunity to come forward voluntarily will remain open throughout the period of this campaign.
The idea of the online initiative is to make it easier for landlords to understand when and how to pay tax on property they have let out.
The bite-sized modules will explain to landlords:
- when and how property letting starts, and what to do
- the various types of property income – furnished, unfurnished, holiday lets, Rent-a-Room, the Non Resident landlord Scheme – and how they are taxed
- the correct treatment of income and expenditure, both revenue and capital
- tips on record-keeping
- property disposal, Capital Gains and Inheritance Tax
- tax return filing and paying dates – and when and how
- PAYE and VAT obligations
Laura Pollard, head of HMRC Campaigns, 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 Association of Residential Letting Agents, the National Landlord Association and the Residential Landlord Association will make the training available to their members. HMRC is also in discussion with other landlord associations to make the training available to them.
HMRC has also started writing to about 40,000 landlords about their tax. It says that so far, more than 2,500 people have come forward voluntarily under the Let Property campaign.