Not declaring your rental income? It’s time to come clean!

If you are a landlord and make a full disclosure to HMRC through Self-Assessment then relax, you’ve nothing to worry about.  However, if you are a landlord and have not been declaring your rental income then be warned – HMRC could be coming for you!

The tax authorities now have access to so much information that there is really no place to hide now.  When HMRC finally catch up with you they will firstly expect you to pay over the income tax that you should have paid along with interest for late payment.

The pain doesn’t end there!  The penalties for non-disclosure can be as high as 100% of the unpaid tax for UK based properties and 200% for offshore properties.  In extreme cases of tax evasion, the individual might even end up in jail!

It really isn’t worth the risk, so why not let us help?  HMRC have been running the Let Property Campaign for a few years.  This campaign is available for individual taxpayers wanting to come clean and disclose all undeclared liabilities at favourable penalty rates.

A number of our clients have made a full declaration of undisclosed rental income using the Let Property Campaign.  The campaign isn’t available to landlords who are letting out non-residential properties such as a shop, garage or lock up.  It also cannot be used by those wishing to disclose income on behalf of a company or a trust.  However, don’t worry if this applies to you – we can still help.  The most important thing is to make your confession to the tax man before he gets to you first!