Private landlords in Scotland have been given a deadline of the end of the month to register with their local authority. Owners of privately rented property must submit a registration application to their local authority by the 30th April, or face a fine of £5,000 for withholding their rental income.
The Scottish Executive have said that this scheme was introduced to make sure landlords are aware of the law. If landlords do not comply with the law, local authorities will be able to investigate and encourage them to put things right, and in worst-case scenarios there will be sanctions, and eventually, landlords will removed from the register. They believe that registration will stop the reputation of the rental sector being tarnished by the small minority of landlords who take advantage of their tenants.
Our view
A tightening of the rental sector will not only improve regulation of landlords it will also, surprise, surprise, bring more landlords into the radar for capital taxes on any second properties that they own.
Need some help on Property and Capital Gains Tax? Book your Free Consultation.