Unlocking the Let Property Campaign:

Who Needs It, When to Act, and Why Professional Advice Matters

The Let Property Campaign (LPC) is an HMRC initiative that allows landlords with undeclared rental income to correct their tax affairs on favourable terms. Whether through oversight or misunderstanding, many landlords fail to report rental income correctly. This scheme provides a structured way to disclose unpaid tax while minimising penalties and interest.

Who Should Use the Let Property Campaign?

The LPC is designed for individual landlords who:

• Own a single rental property or multiple properties

• Let out a holiday home or short-term accommodation (e.g., Airbnb)

• Have inherited a rental property but have not declared the income

• Are non-resident landlords earning rental income from UK properties

• Have underreported rental income due to mistakes or missing expenses

However, companies and trusts are not eligible for the LPC and must use other disclosure methods if they have undeclared rental income.

When Should You Act?

If you have undisclosed rental income, the best time to act is now. HMRC has access to extensive data sources, including Land Registry records, letting agent reports, and Airbnb transactions. If they contact you before you come forward, penalties can be significantly higher. The LPC provides a chance to:

• Avoid costly investigations

• Benefit from lower penalties (usually between 0% and 20% of unpaid tax)

• Settle unpaid tax liabilities efficiently

Why Professional Advice is Essential

While the LPC offers a streamlined disclosure process, navigating tax calculations, interest, and penalty negotiations can be complex. A professional tax adviser such as “Tax Matters” ensures:

 Accurate Tax Calculations – We will assess rental profits, allowable expenses, and any reliefs available to minimise tax liability.

 Strategic Disclosure – Our Advisors help structure the disclosure to ensure compliance while negotiating the best possible terms with HMRC.

 Penalty Reduction – Understanding HMRC’s stance on penalties and mitigation factors can result in a much lower overall tax bill.

Future Compliance –We can help set up proper tax reporting systems, ensuring you remain compliant and avoid future issues.

How a Specialist Advisory Firm Can Help

If you need to disclose rental income under the LPC, working with our tax team is the best approach, as we will-  

• Conduct a full review of undeclared income and past tax returns

• Handle the entire disclosure process, reducing stress and risk

• Provide ongoing tax planning advice to ensure full compliance going forward

With HMRC increasing its scrutiny of landlords, taking proactive steps now can prevent costly disputes and unnecessary penalties. Seeking expert guidance ensures peace of mind and a smoother resolution with HMRC.

If you need help with the Let Property Campaign, contact us for professional, confidential advice today.