Tax revenue collected from UK buy-to-let (BTL) investors increased by 13 per cent in the last year due to HMRC’s growing scrutiny of the property investment sector. Meanwhile, HMRC is running a campaign aimed at anybody that has failed to declare a property sale who are being encouraged to come clean and HMRC are expected to become more aggressive generally in their pursuit of tax evasion in the property sector.
HMRC are now able to compare Land Registry records with data from letting agents and tax files to spot any discrepancies that may exist. Mark Giddens of UHY Hacker Young said: Buy-to-let investors need to be aware of HMRCs increasing concern about tax evasion by landlords”. As buy-to-let continues to grow, so HMRC are more keen to delve deeper. So anybody that thinks they are below the radar may soon be in for a nasty shock.
For advice on how to effectively structure your tax affairs and in particular how to avoid any of the above issues, contact the tax experts by contacting Blue Silver Wealth.