HMRC TARGETS LANDLORDS

HMRC are now warning Landlords of let property to take the opportunity of disclosure under the LET PROPERTY CAMPAIGN any rental profits not previously disclosed. They estimate that 1million such landlords are currently not disclosing either rentals or disposals for CGT. The loss is estimated at £550million per annum. It is thought that as most buy to lets have loans against them people believe that all repayments are allowable against income and that profits if any are small. We remind people that only interest on loans is allowable and that undisclosed profits discovered after the disclosure scheme ends will result in penalties of up to 100% of the tax found to be due.