Not so rich after all! Official data shows 70% of private landlords pay basic rate tax

New government figures show that more than two-thirds of landlords pay the lower rate of income tax ©1999 - Present | Parkmatic Publications Ltd. All rights reserved | LandlordZONE® - Not so rich after all! Official data shows 70% of private landlords pay basic rate tax | LandlordZONE.

Not so rich after all! Official data shows 70% of private landlords pay basic rate tax

New government figures show that more than two-thirds of landlords pay the lower rate of income tax – a picture far removed from a sector full of rich investors housing campaigners.

Treasury minister Lord Agnew of Oulton revealed the numbers declaring income via self-assessment for letting property in 2019/20 showed that 1,519,000 landlords paid the basic rate of tax, 560,000 paid the higher rate of 40% and 106,000 paid the additional higher rate of 45%.

He was responding to a Parliamentary question from Lord Carrington.

Lord Agnew (pictured) added that the figures didn’t include certain categories of BTL property owners including Scottish taxpayers, those with income below the £1,000 property allowance, those with property income between £1,000 and £2,500 who would declare this via PAYE, and some who did not fall into any of the tax bands as their income would be within their personal allowance.

Lord Agnew added: “During the pandemic, the government has put in place a substantial financial package, backed up by billions of pounds, which is supporting renters to sustain tenancies and to afford their housing costs.

“The government is supporting landlords by providing tenants with extensive financial assistance to continue paying rent.”

He said the forthcoming Better Deal for Renters was designed to help the rental market work better for both tenants and landlords.

Last year, survey of 20,000 landlords showed 20% of landlords were looking to leave the sector, while 33% were unsure about their future.

They blamed uncertainty around property prices post Covid-19, concern about future tax hikes and fear of further rent defaults when the furlough scheme ends.

©1999 - Present | Parkmatic Publications Ltd. All rights reserved | LandlordZONE® - Not so rich after all! Official data shows 70% of private landlords pay basic rate tax | LandlordZONE.

Source : Landlord Zone More   

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LATEST: Oxford first ever council to stop landlords and agents using ‘No DSS’ adverts

Oxford has pledged to stamp out DSS discrimination against tenants on housing benefit and Universal Credit – ©1999 - Present | Parkmatic Publications Ltd. All rights reserved | LandlordZONE® - LATEST: Oxford first ever council to stop landlords and agents using ‘No DSS’ adverts | LandlordZONE.

LATEST: Oxford first ever council to stop landlords and agents using ‘No DSS’ adverts

Oxford has pledged to stamp out DSS discrimination against tenants on housing benefit and Universal Credit – the first council to take such a stand.

A cross-party motion has called on the cabinet to explicitly ban discrimination against welfare recipients by changing the wording of its landlord accreditation scheme to say: ‘You must not discriminate on the basis of age, gender, race, language, sexuality or any other factor that might place an individual at a disadvantage.

This includes indirect discrimination such as ‘no DSS’ or related practices, namely refusing to let prospective tenants on housing benefit or universal credit view affordable properties and requiring guarantors in cases where a prospective tenant’s income is sufficient.’

It wants to ensure that the city’s welfare reform team proactively looks out for, and acts upon, reported cases of discrimination and suggests that a new, formal tenants’ forum should be consulted on housing decisions.

The council’s housing and homelessness panel will monitor action taken to address discrimination against those on benefits while duty housing officers would refer cases to the welfare reform team and independent advice centres.

Green Party councillor Chris Jarvis (pictured) tells LandlordZONE that for too long, some landlords and letting agents have been acting with impunity. 

“DSS discrimination is often covert, however, community union Acorn has documented clear examples of letting agents in the city actively engaging in discriminatory practices against welfare recipients including ensuring that potential tenants are screened before landlords let properties and not letting properties to tenants on universal credit or housing benefit.”

Last July, that landlords and letting agents risk prosecution if they won’t allow housing benefit claimants to rent their properties. However, last October, an investigation by the BBC Data Unit found Wokingham landlords were refusing to rent to benefits claimants; none of the landlords who listed 45 properties on the website OpenRent accepted ‘DSS income’.

Safieh Kabir, chair of Acorn’s Oxford branch, tells LandordZONE: “We’re proud that our members’ collective campaigning efforts have pushed the issue of covert DSS discrimination out from the shadows.

“Oxford has a deserved reputation as a divided city, and property owners discriminating against renters on benefits is yet another factor squeezing working class people out.”

©1999 - Present | Parkmatic Publications Ltd. All rights reserved | LandlordZONE® - LATEST: Oxford first ever council to stop landlords and agents using ‘No DSS’ adverts | LandlordZONE.

Source : Landlord Zone More   

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