Non-Resident Landlord Services
Property investors and landlords who don’t reside in the UK for more than 6 months in a year are considered Non-Resident Landlords by HMRC, even if you currently pay tax in the UK. These services are specially designed for non-domiciled landlords and those who fit the NRL status and provide a means for you to invest in the United Kingdom whilst mitigating the bureaucracy of NRL status.
What is the Non-Resident Landlord (NRL) Tax Scheme?
NRL is a tax scheme that’s in place by HMRC to allow landlords to retain their full rental income as it is paid and instead of paying tax annually via an annual tax return. Without using the scheme, the agent managing the property or the tenant where no UK based property manager is in place has the responsibility to deduct and withhold that tax and forward the tax to HMRC on a quarterly basis.
You are also responsible for your tenant or your UK property manager providing an annual statement of rent received to HMRC too.
If your agent or tenant fails to follow the rules and comply with HMRC rules surrounding non-resident landlords, you will still be liable for any outstanding amount of tax owed even if it is not your responsibility to forward the tax to HMRC.
By using Harry Albert Lettings & Estates to manage your property a non-resident landlord, using our in-house tax advisors and accountants, we are able to take advantage of tax reliefs and maximise the efficiency of your investments.
We provide advice and guidance through our framework of trusted property professionals from solicitors to accountants and tax advisors, experienced letting agents and property managers, sales and buying agents and we fully manage your investment journey so you have a hands-off experience from helping you to incorporate a UK property investment company or completing relevant forms required by HMRC to sourcing property investment opportunities and completing on purchases on your behalf, to managing projects including developments and general building works, conversions, renovations and refurbishments, whether it’s converting a house into flats or commercial conversions, then we let and manage the property, covering all exits and increasing your overall return on investment and maximising your tax efficiency. Why go anywhere else?
Why Non-Resident Landlords Choose Us
We provide a range of services to non-resident landlords, including property management and lettings, as well as acting as a buying agent on your behalf, providing a completely done-for-you service using our framework of trusted property professionals. Some of the benefits of using Harry Albert Lettings & Estates are:
- Use of a virtual office for the receipt of post and for incorporation purposes
- In-house Accountants & Tax Advisers enabling you to maximise the efficiency of your investments
- We take care of your tax liabilities, including completing the NRL1 form if required and other filing obligations
- We find, view, analyse and complete on investments on your behalf as your buying agent
- Project management, including developments, conversions, general building work, refurbishments and renovations
- Guaranteed rent as standard
We provide an end-to-end investment service for overseas landlords looking to invest in the UK, primarily Leicester and the East Midlands. By using our services, you’ll not only be able to take advantage of everything that’s included in our Platinum property management service but you’ll also benefit from our property consultancy services completely free!
Am I a non-resident landlord?
You’re a non-resident landlord if you leave the UK or live outside of the UK for six months out of the year or more.
What is the implication of being a non-resident landlord?
As a non-resident landlord, you are required to pay tax each quarter unless you have completed the relevant forms and complied with other rules which we can help you understand, this tax is withheld by your property manager or tenant if you do not use a UK based property management company like us. This tax is then paid to the HMRC every 3 months and each year, an annual statement of rent paid has to be sent to the HMRC. Should your tenant or agent fail to pay this tax, you will be liable for outstanding amounts owed, even though it isn’t your responsibility to forward the tax on to the HMRC. This is why it is so important you use a reliable, compliant and experienced agent like Harry Albert Lettings & Estates.
Can I manage my property myself?
Yes but your tenant will be required to deduct tax from your rent. Should they not pay it to HMRC, you may be jointly liable so it is better to use a letting agent like us who have Client Money Protection in place ensuring your money, including any amounts of tax owed, are protected and insured. We have experience with navigating the HMRC system where the average tenant does not.
Do I need to file tax returns?
Yes, you will need to complete an annual tax return but our in-house accountants can take care of this on your behalf.