Letting agent 'should deduct tax from rent'

News Category: Industry News

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Landlords have been advised that their letting agent is responsible for ensuring payments are made to the Inland Revenue from rental income.

According to Dominic Coyle, who writes a financial advice column for the Irish Times, income from property is taxed in the country it is collected.

This means that Irish property owners who rent out homes in England have to ensure that tax is paid in the UK on the money made from let the houses.

"If you have no letting agent and if the rent is above £100 a week, your tenant is supposed to withhold the basic rate of tax and again, return it to the Inland Revenue quarterly," advised Mr Coyle.

Responding to a reader's letter to the newspaper, he told them to speak to a tax expert and find out whether or not the letting agent has been paying the right levels of tax on the property.

Tenancy deposit protection scheme mydeposits.co.uk recently told students worried about renting property to check the inventory provided by their letting agent carefully.

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