Elvira

Foreign residents who rent out their UK homes can fill in a IR form requesting that the management company need NOT deduct tax at source. Anyone who is in 'good standing' with HM Inspectors of Taxes should have no problem getting this approved.

Guelder Rose

You're right ... seems like forever since I left the UK and I got muddled. If you don't have a management company collect your rent, the IR actually require the tenant to deduct tax from the rent due ... of course, the tenant or management company can only do this if they are aware that the landlord is no longer resident in the UK ... and only if the landlord has not been able to get the IR to approve payments without tax first being deducted at source.

Thankfully, this is one issue that Rockgirl doesn't even have to think about (she did not actually rent her property to any tenant) - but, I do think it is wrong that the IR should expect a tenant to start collecting tax for them. Employers are used to being unpaid tax collectors ... but tenants? After all, how many tenants would even realise that there might be a tax issue to deal with just because their landlord is not resident in the UK!

g1ant

If your tax liability (zero) is less than the penalty (£100) then the penalty is waived. So don't worry, file a zero return and they should go away.

a.

franc111s

I concur except if she knows she is in the right, and has no plans to go back in the next 5 years to live, the IR as such idiots, you'll get a strain trying to address the problem and in that case, a polite "go away" and "your wrong" and "I don't live here any more" would suffice - IMHO

mandpete

I called the Inland Revenue several times to explain that my hubby no longer had any income in the UK but they still kept sending him reminders about not returning his self assessment form. During this time he received letters saying he had overpaid one year then letters saying he'd underpaid another year and eventually he got a refund. In the end I managed to speak to a woman who was extremely friendly and chatty. We talked about life in America before tax was even mentioned. In the end she said "don't worry love I'll get it sorted" and she did. We got a letter 5 days later explaining that he will no longer receive any correspondence from the Inland Revenue but if he does return to the UK to inform them. So keep on calling until you speak to someone who understands what your talking about.

Rockgurl

A big thank you to everyone that posted...you've all been a great help. I was worrying about this but you've all shown me that it's just a formality and nothing to worry about at all. I shall call them as soon as I get a chance. That's what I love about this board...somebody always has a logical, helpful and practical answer. Bless you all!