Did you know Non-resident Landlord can also put the property to rent?

Who Should Operate the Scheme:

• Letting agents based in the UK acting for non-resident landlords must operate the NRLS.
• Chains of letting agents: The last agent in the chain is responsible.
• Elected letting agents: Agents can transfer responsibility through a joint election.

Excluded Persons:

• Legal professionals providing solely legal advice or services are exempt.
• Banks and building societies acting as mere account providers are exempt.
• Tenant-finders who don't handle or control rental income for extended periods are exempt.

What You Must Do:

• Register for the NRLS within 30 days.
• Provide quarterly and annual returns and payments.
• Provide certificates to non-resident landlords.
• Keep records of compliance.

Branches:

• Register each branch separately if dealing with at least 5 non-resident landlords.
• Provide details for each branch.
• HMRC can approve or withdraw branch registrations.

Tenant-Finders:

• Exempt if rent collected is less than £100 and for no more than 3 months.
• Tenants may need to operate the NRLS in these cases.

Registration:

• Register with HMRC using form NRL4.
• Penalty for late registration.

Tax Calculation and Payment:

• Calculate tax quarterly and pay within 30 days.
• Deduct tax from rental income or recover from the landlord.
• Use form NRLQ for quarterly returns and payments.
• Interest payable for late payments.
• Assessments may be made by HMRC.

Annual Returns:

• Submit form NRLY by 5 July.
• Provide details for each landlord.
• Penalties for non-compliance.

Certificates:

• Provide certificates to landlords by 5 July.
• Keep copies for audit purposes.

Remember:

• Consult a legal professional for specific guidance.
• Compliance with the NRLS is essential to avoid penalties and ensure accurate tax reporting.