New regulations coming in for ALL NEW tenancies from 1 July 2020
For all existing tenancies from 1 April 2021
(1) A private landlord (as defined in section 122(6) of the Housing and Planning Act 2016) who grants or intends to grant a specified tenancy must—
(a) ensure that the electrical safety standards are met during any period when the residential premises are occupied under a specified tenancy;
(b) ensure every electrical installation in the residential premises is inspected and tested at regular intervals by a qualified person; and
(c) ensure the first inspection and testing is carried out—
(i) before the tenancy commences in relation to a new specified tenancy; or
(ii) by 1st April 2021 in relation to an existing specified tenancy.
a) at intervals of no more than 5 years; or
(b) where the most recent report under sub-paragraph (a) requires such inspection and testing to be at intervals of less than 5 years, at the intervals specified in that report
Following the required inspection and testing) a private landlord must
(a) obtain a report from the person conducting that inspection and test, which gives the results of the inspection and test and the date of the next inspection and test;
(b) supply a copy of that report to each existing tenant of the residential premises within 28 days of the inspection and test;
(c) supply a copy of that report to the local housing authority within 7 days of receiving a request in writing for it from that authority;
(d) retain a copy of that report until the next inspection and test is due and supply a copy to the person carrying out the next inspection and test; and
(e) supply a copy of the most recent report to
(i) any new tenant of the specified tenancy to which the report relates before that tenant occupies those premises; and
(ii) any prospective tenant within 28 days of receiving a request in writing for it from that prospective tenant.
From The Electrical Safety Standards in the Private Rented Sector (England) Regulations 2020 (Draft)
The CRLA office will be closed 19th December to 3 January
Wishing you all a Very Merry Christmas
Emails and ‘phone messages will be replied to as soon as possible in January
Introduce a stamp duty surcharge on non-uk residents.
Continue the roll-out of universal credit and bring an end to the benefit freeze.
Invest £9.2 billion in the energy efficiency of homes, schools and hospitals.
Lifetime rental deposits will be introduced. Instead of having to save up a second deposit, the tenant will produce a certificate to show the new landlord before they move in. This will confirm their deposit will be transferred to them once the other landlord has made any deductions necessary.
Section 21 will be removed with possession grounds strengthened.
Removing section 21 notices
Mandating open-ended tenancies
Funding local authorities so they can buy back properties from private landlords
Introducing a nationwide licensing scheme enforcing minimum national standards for properties
Implementing rent controls capped at inflation with cities given powers to reduce this further
Halting court closures
Planning to scrap universal credit in the long term and replacing it with a new system. Emergency measures will be introduced to provide initial payments of universal credit faster.
Increasing in local housing allowance rates to reduce incidences of rent arrears
Scrapping right to rent
Allowing local authorities to increase council tax by up to 500 per cent where homes are being bought as second homes with a stamp duty surcharge on overseas residents purchasing such properties.
Helping young people into the rental market by establishing a new help to rent scheme to provide government-backed tenancy deposit loans for all first-time renters under 30.
Promoting longer tenancies of three years or more with an inflation-linked annual rent increase built in, to give tenants security and limit rent hikes.
Improving protections against rogue landlords through mandatory licensing.
Reducing the wait time for the first payment of universal credit from five weeks to five days.
Increasing local housing allowance in line with average rents in an area.
Increasing minimum energy efficiency standards for privately rented properties and removing the cost cap on improvements.
Ending the hostile environment policy for immigration (which would include the right to rent).
Proposals to introduce rent controls based on local income
Remove section 21 notices
Scrapping the unfair right to rent legislation
Changing the planning system to incentivise renovation, extension and improvement of existing buildings instead of new builds
Introducing a universal basic income (ubi) as a replacement for universal credit
Funding local authorities to insulate 10 million homes with a priority on low income residents
Building 100,000 social housing properties a year
UPDATE: TWO SPACES UNEXPECTEDLY AVAILABLE DUE TO CANCELLATIONS BY MEMBERS
ONE DAY COURSE
TAXATION AND LANDLORDS
SPECIALIST LANDLORD TAX COURSE
15 NOVEMBER 2019
CORNWALL COUNCIL OFFICES, DOLCOATH AVENUE, CAMBORNE
The course will cost
CRLA Members £70.00
We have been fortunate to be able to book Sue Bryer to give a course on taxation.
· Introduction and overview of the UK Tax regime -Inheritance Tax, Capital Gains Tax (brief overview) and Corporation Tax
· A comprehensive coverage of IHT and wealth management and tax strategies
· Income Tax –an analysis and its relationship with section 24
· Allowable expenses and what to offset
· Full explanation of Section 24 tax implications and clear worked examples
· An explanation of why 20% tax payers are possibly the most vulnerable-how often do you hear the soundbites that a 20% tax payer will not be affected?
· Templates created by Sue will be shared on the course to enable landlords to complete calculations on their own personal portfolios and to understand their tax liability
· Your 20% tax reducer (relief) may not be your finance costs!
· Whether to operate as a company or individual investor (pros and cons of incorporation)
· LLPs – a thorough explanation of the benefits of an LLP and how the drafting of ‘model clauses’ – which are shared – are essential to get the required flexibility for tax purposes
· The various options available, and which ones to use in the light of S24- remodel, restructure or refinance?
· An explanation and introduction to the use of Trusts and how they are taxed
· Making tax digital
· Smart exits and strategies during your lifetime
Delegates attending the Specialist Tax Course will:
· use templates created by Sue, and by following clear steps will be able to calculate their personal tax liability in the light of the S24 Tax
· be introduced to the drafting techniques used in LLPs – model clauses will be shared- which are essential to get the essential tax flexibility landlords require
· the course is delivered with its own course brochure for you to make your own notes.
The topic of taxation is avoided by many landlords but with the increased pressure from HMRC and loss of mortgage relief (Section 24) it is now an important part of any landlord’s strategy.
This course is an updated version of the course which received good reviews from Portsmouth and District Landlords Association.
Many thanks to Cornwall Council for arranging the use of a room in their offices.
Sue Bryer is a solicitor qualified for over 30 years and an accredited private landlord for 25 years based in Sussex.
Recognising that there was a need to provide detailed tax training for private landlords and property developers, Sue has been delivering a wide range of face to face tax education over the past 5 years, culminating in the bespoke design and delivery of two 1-day landlord taxation courses for landlord associations and accreditation schemes.
Specialist Landlord Tax
Understanding Capital Gains Taxation – Should I sell?
Over 70 of these courses have been delivered over the past 5 years and have proven to be very popular. Landlords struggle to find answers as to how to stay profitable, keep their assets and seek clarity as to whether they need to restructure and/or remodel their portfolios to be more tax efficient due to the recent tax changes.
Many landlords have elected to reduce their portfolio size by selling some of their properties. It has also brought into sharp focus the need for careful tax planning and refining exit strategies.
Sue Bryer Landlord Tax Training Associates has pleasure in offering these courses to empower and enable landlords to complete essential calculations. They provide a conceptual learning experience followed by user friendly calculations. The new method of how landlords are taxed and the related vocabulary HMRC has recently introduced, will be shared and explained in full.
Following discussions on this course with an accountant considered knowledgeable in landlord tax issues he admitted that he did not know a lot of the content and may consider attending himself.—Ruth
Any queries please contact Ruth Clarke
Only 20 spaces on this course so please book asap
Click here to download your booking form.
Landlords have backed plans for its two largest representative bodies to merge to provide a stronger voice for the private rented sector.
Following meetings held today (17 September), members of the Residential Landlords Association (RLA) and the National Landlords Association (NLA) have voted for the two organisations to unite to form the National Residential Landlords Association (NRLA).
The new organisation will have a membership of more than 80,000 landlords making it by far the largest organisation in the sector. Its members will own and manage half a million properties, about 10 per cent of the private rented sector. It will officially launch on 1st January 2020.
The two Chairs, Alan Ward (RLA) and Adrian Jeakings (NLA), have said in a joint statement: “We are delighted that landlords have backed plans for a new, stronger body to represent them and their interests.
“The new organisation will have a more powerful voice to support landlords, provide services to them and to lobby government.
“Both organisations will now move forward together to appoint a new Chair and Directors for the NRLA. We will be seeking candidates internally and externally and we would welcome expressions of interest from members for these posts.”
The NRLA will serve landlords in England Wales and will have a regional structure.
Please remember that the CRLA is completely independent and not affiliated to any of the above organisations.