Undeclared rental income
The Let Property Campaign: Disclosing Undeclared Rental Income
The Let Property Campaign is HMRC’s disclosure route for individual residential landlords who need to correct UK or overseas rental income. You notify HMRC, calculate the position and make a full disclosure with payment or a payment proposal.
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QuickBooks PartnerCertified ProAdvisor100+ yearsCombined team experienceFully insuredUp to £2m indemnityWhat happens, step by step
- 1
Check whether the campaign fits
Usually 1–3 working daysWe establish which properties, owners, taxes and years are involved and whether HMRC has already made contact.
- 2
Notify HMRC
Promptly after reviewThe campaign starts with a notification. This is not the final disclosure and it should not be used to guess at figures.
- 3
Reconstruct each rental year
Often 2–6 weeksBank statements, agent reports, tenancy records and invoices are used to rebuild rent, allowable costs and tax by year.
- 4
Prepare the disclosure
Within HMRC’s notified deadlineThe submission explains the facts, behaviour, tax, interest and proposed penalty, with a declaration that it is complete and correct.
- 5
Pay or request Time to Pay
With the disclosureTax, interest and penalty are normally offered together. If full payment is not possible, an affordable proposal needs evidence.
- 6
HMRC reviews and closes
Weeks or longerHMRC may accept the offer or ask questions. Closure timing belongs to HMRC and depends on the quality and complexity of the disclosure.
What it means for you
The amount usually includes income tax on rental profit, late-payment interest and any behaviour-based penalty. The lookback is not one fixed period: it may be four years where reasonable care was taken, six for carelessness, or up to twenty for deliberate conduct or some failures to notify. HMRC contact can make a disclosure prompted and change the penalty range.
The campaign is a civil route, but no adviser should promise a result. False statements, destroyed records or deliberate concealment need particularly careful handling.
How we help
- Confirm whether the Let Property Campaign is the correct route
- Identify the years and owners genuinely in scope
- Rebuild rental accounts from the available evidence
- Review expenses, finance-cost relief and ownership shares
- Prepare tax, interest and penalty calculations with the behaviour position explained
- Handle HMRC correspondence and support a realistic Time to Pay request where needed
Frequently asked questions
Will I go to prison for undeclared rental income?
The Let Property Campaign is a civil disclosure route. Most ordinary cases are resolved through tax, interest and any penalty. Deliberate concealment or false statements can be more serious, so take advice before describing what happened.
How far back can HMRC go?
The period depends on the facts. HMRC time limits are commonly four years where reasonable care was taken, six years for carelessness and up to twenty years for deliberate conduct or some failures to notify.
I already have an HMRC letter. Can I still use the campaign?
You should respond promptly. Contact by HMRC can make the disclosure prompted and may change the route or penalty range, but it does not remove the need to put the rental position right.
Can HMRC look at my bank account?
HMRC can ask for records reasonably required to check the tax position and has statutory information powers. The scope depends on the enquiry. Do not destroy, alter or selectively provide records.
What expenses can reduce undeclared rental profit?
Genuine allowable costs can include agents’ fees, insurance, repairs and some finance-cost relief. Improvements and private costs are treated differently. Evidence matters, even when records must be reconstructed.
What if I cannot pay the full amount?
A complete disclosure still needs to show the amount due. HMRC may discuss Time to Pay where the proposal is affordable and supported by financial information, but an arrangement is not automatic.
Do I have to attend a meeting with HMRC?
Not in every disclosure. We can handle written calculations and correspondence and explain when a meeting is requested, whether it is useful, and what preparation is needed.
How much does a Let Property Campaign accountant cost?
The cost depends on the number of properties, years, quality of records and whether HMRC has already contacted you. We review the scope and quote before technical work starts.
Official sources
Confidential first conversation
Send us the HMRC letter
The phone is the quickest route. Tell us the reply date first. You can also send the letter securely for an initial review.
020 3441 1258Your details and letter are stored privately and used only to assess and respond to this enquiry. Sending this form does not appoint us or extend an HMRC deadline.