A local authority urged Philip Hammond to do more to tackle tax evasion as it suggested that “rogue” landlords could be costing the Treasury as well as exploiting vulnerable tenants.
Sir Robin Wales, mayor of the east London borough of Newham, said the council’s “private rented licensing scheme” introduced in 2013 had “unearthed that many unscrupulous landlords may be benefiting from undeclared tax.” The Newham council works in close partnership with HMRC to help ensure that landlords meet their financial obligations, Wales wrote.
“We understand that nearly 13,000 Newham landlords have questions to answer and we estimate that across London unpaid tax by landlords could be costing the public as much as £183 million,” Wales said in the council’s emailed statement. HMRC did not recognise the estimate of 13,000, which represents almost half of the borough’s registered landlords, but a spokesman told Tax Analysts that it was working with the borough as part of its UK-wide Let Property Campaign. Read more:
My news story for Tax Analysts, August 21 (paywall)