Charterhouse Blog

The Let Property Campaign

What is it?

The Let Property Campaign is an HM Revenue & Customs (HMRC) initiative offered to individual landlords letting out residential property in the UK or abroad. The scheme offers the best possible terms to pay any tax that you owe.

If you owe tax on your letting income you’ll need to tell HMRC about the income you haven’t declared by making a voluntary disclosure.

To get the best possible terms, you must tell HMRC that you wish to take part by filling in a notification form or calling the Let Property Campaign helpline. You’ll then have 3 months to calculate and pay what you owe.

Who can do this?

You can report previously undisclosed taxes on rental income to HMRC under the Let Property Campaign if you’re an individual landlord renting out residential property.

This includes you if you’re:

  • renting out a single property
  • renting out multiple properties
  • a specialist landlord, eg student or workforce rentals
  • renting out a room in your main home for more than the rent a room scheme threshold
  • living abroad and renting out a property in the UK
  • living in the UK and renting a property abroad
  • renting out a holiday home even if you use it yourself

You can’t use this scheme to declare undisclosed income if you’re a company or a trust renting out residential property or if you’re renting out commercial property.

If you aren’t sure whether you need to disclose unpaid taxes under this campaign you can speak to David White at Charterhouse to help you make the right decision about the action you need to take. You’ll answer a few simple questions and get guidance on what you need to do that is specific to your own circumstances.

There are many reasons why landlords may misunderstand the rules and so not pay the right amount of tax. Whether your errors were due to misunderstanding the rules or you deliberately avoided paying the right amount, you should notify HMRC now rather than wait until they uncover the errors.

If you should disclose but choose not to

HMRC is targeting tax evasion by residential landlords. They’ll use information they have about property rental in the UK and abroad and other information they hold on taxpayers to identify people who might not have paid what they owe.

If you don’t make a voluntary disclosure now and HMRC finds out later, you could get higher penalties and face criminal prosecution.

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