HM REVENUE & CUSTOMS TO TARGET BUY-TO-LET LANDLORDS
Buy-to-let investors are the next targets on the HM Revenue and Customs hit list, according to a Nottingham accountancy firm.
Simon Browning, tax partner at UHY Hacker Young, is warning investors to ensure their tax affairs are in order.
He said: "HMRC has really stepped up its game in terms of reclaiming unpaid tax, closing loopholes and ensuring that people are paying what they should over the past few months – and now they have turned the microscope onto landlords.
"We have seen an increase in the numbers of investors, particularly those based outside of the UK, securing property within the regions since the turn of the year as the property market has taken a turn for the better.
"Landlords will be receiving letters from the revenue asking for them to get in touch to discuss their affairs – or run the risk of a large fine or even criminal investigation."
In October 2013, HMRC launched a campaign aimed at encouraging landlords to come clean about tax evasion – including those who have simply not filled out their paperwork correctly.
[Nottingham Post, Friday, 8 August 2014]