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Tax Threat For Buy-To-Let - The Telegraph

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The biggest relief relates to mortgage interest, which landlords can deduct from rent before calculating the tax due.

I can't work out why this would be the biggest relief.......

Would eliminating this tax relief be legal?

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Article and comments read like a ramping exercise for BTL, saying that it is "booming" etc. Not round my way, I reckon there are plenty wishing they could just get shot of that empty flat, problem is selling it isn`t so easy any more, let alone finding a tenant who will stay more than three months and not trash the place.

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Article and comments read like a ramping exercise for BTL, saying that it is "booming" etc. Not round my way, I reckon there are plenty wishing they could just get shot of that empty flat, problem is selling it isn`t so easy any more, let alone finding a tenant who will stay more than three months and not trash the place.

Hence the ramping ,there`s a lot out there looking for the greater fool

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I really hope he takes away some of these landlord tax reliefs. Being a landlord is not the same as running a business, and should not get the same taxation treatment.

However, even if he just goes after those who collect rent and dont report it, it will be a sign for for the positive. That report estimates 500 million goes uncollected - I wouldn't be surprised if it is a lot more than that. Plenty of landlords probably dont even know how to declare and pay their taxes.

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Where their property is furnished, landlords can claim a “wear-and-tear” allowance equivalent to 10pc of annual rent.

I didn't know that. Useful information to bear in mind when we move out of our existing rented house after seven years, lest the landlord expects everything to be exactly as it was when we moved in :lol:.

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I really hope he takes away some of these landlord tax reliefs. Being a landlord is not the same as running a business, and should not get the same taxation treatment.

However, even if he just goes after those who collect rent and dont report it, it will be a sign for for the positive. That report estimates 500 million goes uncollected - I wouldn't be surprised if it is a lot more than that. Plenty of landlords probably dont even know how to declare and pay their taxes.

If they do all they need to do is apologise and pay up just like our MP's and all will be forgotten...

Although the 500m figure is pie in the sky as they really have no idea as it's the black economy. Plus how are they going to track down landlords who don't declare? They'd need access to bank records to track the money.

Those who own several properties might be easy to track looking at the land reg details but how else are you going to track them down?

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If they do all they need to do is apologise and pay up just like our MP's and all will be forgotten...

Although the 500m figure is pie in the sky as they really have no idea as it's the black economy. Plus how are they going to track down landlords who don't declare? They'd need access to bank records to track the money.

Those who own several properties might be easy to track looking at the land reg details but how else are you going to track them down?

They can`t track them down, it is all hot air as usual, more interesting is the subtle ramping trying to say that BTL is something to get into.

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I didn't know that.....

Probably the only really abused BTL relief. In theory wear and tear is only allowable on fully furnished properties (a small minority IMO), in practice everyone claims it.

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Probably the only really abused BTL relief. In theory wear and tear is only allowable on fully furnished properties (a small minority IMO), in practice everyone claims it.

Biggest con is the CGT system where you can nominate a former rented place as your principal residence and not pay any CGT.

My solution to all this is that any rented property must be owned by a limited company registered as a rental company with Companies House and HMRC.

Then make them file proper business accounts rather than blending what should be treated as business income with personal taxation to create the mess we have now.

After all if you're in business for real then you won't have a problem with this will you ??? ;)

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Biggest con is the CGT system where you can nominate a former rented place as your principal residence and not pay any CGT.

Er, no.

You can't just nominate a place, you do actually need to live there as a resident. Also the PPR relief is time apportioned (albeit with a fairly generous "deemed residence" rules).

My solution to all this is that any rented property must be owned by a limited company registered as a rental company with Companies House and HMRC.

Then make them file proper business accounts rather than blending what should be treated as business income with personal taxation to create the mess we have now.

After all if you're in business for real then you won't have a problem with this will you ??? ;)

You do understand that there are plenty of unincorporated businesses out there, some of them quite large.

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If they do all they need to do is apologise and pay up just like our MP's and all will be forgotten...

Although the 500m figure is pie in the sky as they really have no idea as it's the black economy. Plus how are they going to track down landlords who don't declare? They'd need access to bank records to track the money.

Those who own several properties might be easy to track looking at the land reg details but how else are you going to track them down?

Public service announcement – ‘Renting your house? Tell your local friendly council, if you landlord turns out to be a tax evading crook you will receive a £500 cash incentive’.

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Public service announcement – ‘Renting your house? Tell your local friendly council, if you landlord turns out to be a tax evading crook you will receive a £500 cash incentive’.

Already in place: Tax Evasion Hotline

You may receive a cash reward for your information.

And your various councils housing offices to report rogue activities, like unlicensed HMO's, etc...

Why not just move. Karma is a b1tch.

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If they do all they need to do is apologise and pay up just like our MP's and all will be forgotten...

Although the 500m figure is pie in the sky as they really have no idea as it's the black economy. Plus how are they going to track down landlords who don't declare? They'd need access to bank records to track the money.

Those who own several properties might be easy to track looking at the land reg details but how else are you going to track them down?

Rightmove archive, deposit fund records, council tax records, tv licence, utility bills, electoral roll etc.

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