How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask TaxRobin Your Own Question
TaxRobin
TaxRobin, Tax Consultant
Category: Tax
Satisfied Customers: 15301
Experience:  International tax
14155347
Type Your Tax Question Here...
TaxRobin is online now

Liechtenstein Disclosure Facility (LDF) - HMRC Voluntary Disclosure A

Resolved Question:

Liechtenstein Disclosure Facility (LDF) - HMRC Voluntary Disclosure
A person owns a second property for a long time say 10 year but on one occasion rents out a property for say a 12 month period.
They have not declared rental income.
Tax office rights to the person claiming that the tax office has reasons to believe that there is unpaid tax but not yet a full investigation.
What is the best approach?
If the person declares that the property was rented only for one year, what proof do would HMRC require that it was only let out for 12 months?
Submitted: 1 year ago.
Category: Tax
Expert:  TaxRobin replied 1 year ago.
Hello,The best approach is generally always to disclose all information.If you have your bank statements for the period of your disclosure that is good. If you don’t have them HMRC recommends you contact your bank as soon as possible to get copies. Your income records and letting records (agreements) will need to be included in your disclosure.If following their enquiries HMRC finds that a disclosure is materially incorrect they will seek significantly higher penalties.Officials can obtain data from letting agents, local authorities , and HMRC already holds data on landlords who have received tenants' housing benefit payments directly, as well as those registered with schemes for protecting tenants' deposits. There is always the anonymous tip-off.Your records and agreement with the tenant is proof.
TaxRobin and other Tax Specialists are ready to help you

Related Tax Questions