“Over 100% increase in Let Property Disclosures” say inTAX experts

We have been analysing our statistics over the last few weeks in an exercise to better understand the activity of HMRC and our clients.

One thing that really stood out to me was the massive rise in the number of Let Property Disclosures we dealt with in the last 12 months.

A Let Property Disclosure refers to a situation where a property owner voluntarily informs HMRC about rental income or properties that may have previously gone unreported or underreported.

So, an over 100 per cent increase in Let Property Disclosures indicates that more clients are either becoming aware of the need to report rental income, are taking proactive steps to comply with tax obligations or are getting caught out by HMRC’s rules.

What does the rise in Let Property Disclosures mean?

The rise in Let Property Disclosures isn’t because landlords are suddenly more aware of their tax responsibilities.

It’s because HMRC is tightening its grip, obtaining more and more data and issuing more nudge letters.

As a consequence, more landlords are coming forward to disclose rental income.

HMRC’s increased vigilance has made landlords feel compelled to disclose, knowing the risks associated with not reporting accurately.

We’re dealing with more complex disclosures than ever before. Multiple properties, and multiple years of rental income to disclose.

We’ve also been submitting more property disclosures including Capital Gains Tax, where property sales have previously gone unreported.

The final thing that has stood out to me is the increased level of scrutiny. HMRC are increasingly diving deep into these disclosures, looking for discrepancies, errors, or any signs of inaccuracy.

What happens when a Let Property Disclosure goes wrong?

As tax investigations specialists, we’ve seen what happens when an incomplete disclosure is made to HMRC and what happens when a disclosure is not made at all.

We’ve experienced a marked increase in clients looking to obtain specialist tax investigation advice after a disclosure has gone badly wrong.

Once a problem is identified, HMRC demand detailed income and expenditure records, tax liabilities and penalties increase and the stress of dealing with the issue can become overwhelming.

Tax investigation specialists, like inTAX, can manage HMRC’s investigation on your behalf. We’ll correspond with HMRC directly, fix any errors and ensure your position is protected.

What to do if you need to disclose Let Property Income?

As HMRC collects more property data than ever before, the risk of a full tax investigation grows.

We help landlords navigate the complicated process of disclosing and correcting past mistakes, defending against HMRC’s penalties and ensuring future compliance.

If you’re a property landlord facing these challenges, it’s time to seek the right help to protect your interests and resolve any outstanding issues with HMRC.

Don’t wait until it’s too late. Come and speak to us for expertise and support with the scrutiny from HMRC and ensure your compliance is in order.

You can get in touch with our friendly and experienced team on: 0203 675 8122 or email info@intaxltd.com.

inTAX is a specialist tax disputes firm. We deal with disclosures, investigations, and tax enquiries of all descriptions, including COP9, fraud investigations, VAT fraud, tax avoidance, let property disclosures and tribunal appeals. However, we don’t just deal with the serious end of tax investigations; we are also happy to handle smaller enquiries, disputes and problems that can be equally as worrying for our clients.