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Showing results for tags 'btl tax'.
HMRC starting to go after landlords after the Let Property campaign: https://www.property118.com/might-late-hmrc-party/ A headache for letting agents...a nightmare for landlords who haven't been paying tax. Oh dear. "have well over 300 properties on my books, making this a mammoth task, and the data they are requesting needs to be transcribed on to HMRC’s specific spreadsheet in the specific format they insist by 09th April this year. I discovered some background to these notices on an accountant’s blog, but in brief, there are 900,000 landlords not paying tax on their rented properties, a ‘be-honest-and-come-and-talk-to-us’ campaign by HMRC proved fruitless, so now they’re making me jump through hoops"
So the CML are using some research by LSE to come to the conclusion that BTL is fine, nothing to see. https://www.cml.org.uk/news/press-releases/cml-research-survey-of-uk-landlords/ The directors comments were interesting. I had a quick look at the actual research paper they have plucked their nuggets from. Now the author's do their best to confuse the whole thing, however I drew some key points. Note there is a not too subtle difference between the terms 'landlord' 'BTL' and 'dwelling' So: 60% of landlords own a single property. 7% own 5 or more, these own 40% of all rental dwellings. 50% of all properties use a BTL mortgage. 36% of landlords concerned about tax changes. Slightly more intend to sell than buy. Majority of dwellings backed by a loan. Most landlords have no loan. So most landlords will not care too much about tax changes but this will encompass only about a half of all rental properties. So I see a massive change as at least 40% of the market will probably struggle to break even. What the landlords with no loans feel about depreciation remains to be seen.