Tax authority wants to hear agents' views on buy to let tax regime

Letting agents are being urged to respond to a consultation opening today from rhe independent Office for Tax Simplification. 

The OTS has published an online survey and Call for Evidence to seek views about how the taxation of property income could be simplified.

The OTS wants to hear directly from agents and trade bodies, as well as individual landlords and small businesses, about which aspects of property income taxation are particularly complex and hard to get right, and to hear any suggestions for improvements.

The survey will enable the OTS to hear directly from those with personal experience in this area. It is open now and will be available until June 5. 

“HMRC data shows that over two million individuals receive property rental income and many more now own property companies. For some people this may be a business, for others an investment and for some almost an accidental activity as they rent out their home as they move” says  OTS Tax Director Bill Dodwell.

He continues: “The Office of Tax Simplification is conducting a review of property income. 

“How easy is it to understand the rules and report the right amount of income and qualifying expenses to HMRC. Could there be simpler rules? 

“Could intermediaries, such as letting agents or rental platforms play a role in helping landlords report?  

“Please fill in our survey, whether you own one or more buy-to-let properties, have furnished holiday lets or host lodgers in your home.”

The OTS was set up in 2010 as an independent advisory service for the government - it is not part of HMRC, nor does it have party political significance. However, it is actively used by government to analyse fiscal issues, especially as they directly affect members of the public. 

The survey will appear later today on the OTS website.