If you are a landlord insurance client struggling to understand your tax return you will be interested in a new proposal from a major organization representing landlords in the private rented sector. The Residential Landlord’s Association is calling on the government to reform the tax system to encourage more people to become private landlords and to encourage existing landlords to enlarge their portfolios. At the moment, renting out a house is classed as a private investment rather than a business and the RLA say this should be changed. They point to statistics showing an average of five people looking to rent each available rental property and argue that tax changes could make a big difference.
The RLA say the changes it is proposing would be tax neutral.