Landlords are being offered online training in tax matters from HM Revenue and Customs (HMRC).
The computer-based tutorials will make it easier for them to understand when and how to pay tax on property they have let out.
The training pack is part of HMRC’s Let Property campaign, aimed at people renting out residential property who have not registered to pay tax, who have under-declared their earnings or who have under-paid tax.
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.
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. If they are in any doubt, they should try the training and, if they think they need to bring their tax affairs up to date, they should contact us.
The Association of Residential Letting Agents, the National Landlord Association and the Residential Landlord Association will also make the training available to their members. HMRC is also in discussion with other landlord associations to make the training available to them.
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
HMRC has also started writing to about 40,000 landlords about their tax. So far, more than 2,500 people renting out residential property have voluntarily contacted HMRC to put their tax affairs in order under the Let Property campaign.
Published: 20 May 2014
From: HM Revenue & Customs