If you have rental income that hasn’t been declared to HMRC whether from UK or overseas property you’re not alone.
It’s a situation many landlords find themselves in, often due to changes over time or misunderstandings with managing agents rather than deliberate action.
HMRC’s Let Property Campaign (LPC) provides an opportunity to bring your tax affairs up to date, often with reduced penalties compared to being contacted first.
However, the process can be complex, particularly where records are incomplete or the position spans multiple years.
We take a look at how the campaign works, why timing matters, and how the right support can make a significant difference to the outcome.
What Is the Let Property Campaign?
The Let Property Campaign is an HMRC initiative that allows landlords to voluntarily disclose previously undeclared rental income.
It applies to:
- Individuals renting out residential property in the UK or overseas
It does not apply to:
- Commercial property
- Trusts
- Company-owned properties
Once you notify HMRC of your intention to disclose, you typically have 90 days to calculate and report:
- The unpaid tax
- Interest
- Any applicable penalties
Penalties are generally lower for voluntary disclosures than for cases where HMRC opens an enquiry first.
Why Acting Early Matters
HMRC continues to increase its focus on property income, using data from a range of sources including:
- Tenancy deposit schemes
- Letting agents
- Online platforms such as Airbnb
Where HMRC identifies undeclared income before you come forward, penalties can be significantly higher.
In some cases ranging from 10% to 200% of the tax due, depending on the circumstances.
By contrast, voluntary disclosure through the Let Property Campaign can reduce penalties substantially, and in some cases to very low levels.
Delaying action can also increase the likelihood of a formal enquiry, which can be more time-consuming and stressful to resolve.
How We Support Landlords
For many landlords, the challenge is not just the disclosure itself, but understanding what needs to be included and how to present it correctly.
We support clients across Kent and the wider South East with:
HMRC Liaison
Managing communication with HMRC and handling negotiations on your behalf.
Tax Review and Calculations
Reconstructing rental income, identifying allowable expenses, and calculating any liabilities accurately.
Disclosure Preparation
Preparing and submitting disclosures in line with HMRC requirements.
Supporting Different Scenarios
Whether you are making a voluntary disclosure or have already received correspondence from HMRC.
Penalty Mitigation
Helping ensure that any penalties applied are appropriate to the circumstances.
In some situations, it may also be possible to resolve matters without a full disclosure under the campaign, depending on the facts.
Taking the Next Step
If you believe you may have undeclared rental income, taking advice early can help you understand your position and the options available.
The Let Property Campaign provides a structured route to bring matters up to date, but the approach taken can have a significant impact on the outcome.
If you would like to discuss your situation confidentially call us on 01634 731390 or book a discovery call.
Our team would be happy to help you assess the position and decide on the most appropriate next steps.
