Where do you get the £2000 per month tax free figure from?.
Perhaps you should take up book keeping and show me how this works, as my accountant doesnt seem to agree with that when i submit my accounts.

In addition, tax IS payable on the sale of a second home!!

I take it you have a second house then, is that why you are getting so touchy?

Touchy?

It was simply a challenge to an unsubstantiated comment.
As I said, the profit fro the sale of a second home is treated as income, so is taxable.

I still don't quite understand where the whole tax avoidance thing comes from, I pay a purchase tax when iI buy a property' I get taxed on all earnings from that property, I pay tax (vat) on all work done to the property and I pay tax on any property when I move it on. Tax avoidance? Don't make me laff!

"Up to". Did you not read? lol

Renting a whole house can be up to around £1200 a month.
Renting individual rooms can go for up to £500 per month. If you have a 5 bedroom house and rent 4 of the rooms out you are earning £1600 per month and this is very rarely declared.

You know full well plenty of people open multiple houses and irrespective of what other tax you pay, people make a large amount of tax-free earning.

That doesnt add up to your £2,000 per month.
Deduct maintenance, insurance, etc and then pay tax on the income, Cant you read?

There are plenty of people who own second houses and pay taxes, I think some people are gettig a little too worked up. My original comment was that far too many people own multiple properties and register them as an income rather than a business. I didn't say everybody was doing that, just that too many are. The thing is with the property boom of the eighties, people view property as a commodity, a cash cow. The prices go up and up, so that landlords have a pension, a failsafe investment, and an income stream, whilst the tenants have less and less chance of ever owning a home. The very root of the problem is greed, which probably could be defined as human nature, and something we all change our minds on frequently as our circumstances change.

Oh really? I thought 4 x 400 was £2000.....

Most people don't pay tax on second homes that they rent out, unless they go through an agency or estate agents or such like. There are TONS of private renting properties out there. I've rented at 4 different houses now (both an actual flat and "rooms" within a share, and only one paid tax which was because it went through Henwick Properties - I know as I asked them all.

Those that do pay taxes do not always do so correctly as they just state it's an extra income as opposed to a business - Which it actually is, and how it should be registered.

Chill out Winstan.

As Strafin says it's viewed as a cash stream for people who want to die with £80k in their bank accounts.

I would like to take issue with the blanket statement that 'most people don't pay taxes on second homes' this has not been the case in my experience, most reputable landlords are registered as members of ARLA and submit detailed returns annually to the revenue. If you choose to go on the cheap and rent someones back room with all the hazards that can result in then so be it.

If you rent from an established landlord you gain protection under the law as well as regular inspections from the landlord or his agent. And there seems to be some confusion over tax avoidance (legal) and tax evasion (illegal).

Oh, if if when I die I only have 80k in the bank not only would I have been wasting my time but would also want to know where the rest had gone.

That's a pretty good explanation. At the end of the day, exactly as Adam Smith summised back in 18th century.

Oh, if when I die I only have 80k in the bank not only would I have been wasting my time but would also want to know where the rest had gone.

Quite right too. Although having saved a bit for a fair few years there is something to be gained by selective splashings out.
As in "Reasons to be Cheerfu..aargh..croak"
ce

fair enough
I can only talk about my experiences at the end of the day

I've not had any serious issues from renting privately but hey.

What good is loads of money when you're dead. Spend some money and have a good life..

....or better still give it to me

Brilliant! How do we get on your selection list?

'Dear CE
We are a poor struggling community and know that you are a generous and munificent benefactor. We were wondering if you would spare a thought for our Councillors who are cold and needy. They have a desperate want for robes, in effect only 'workplace garments' and also symbolic identity neck ware, because as I'm sure you'll know, Her Majesty has difficulty reading standard ID Cards. The local burgesses are being very mean in this regard, so anything you can do would be appreciated. Of course, we will name the Council robes after you 'The Nothing Much Ceremonial Dress' .

Any chance? No, didn't think so, will get me coat....

We are a poor struggling community and know that you are a generous and munificent benefactor

Bleedin' Nigerians get everywhere.

But as you are obviously about to donate your coat OTE I might add my old school cap. Vintage 1962. Claret green.
Motto "Labor Omnia Vincit" or Layabouts Always Win.
ce

Nothing Much,

I personally feel immensely uncomfortable with such statements being made in a public forum. I hope that offence was not meant?

Ruwan Uduwerage-Perera
Newbury Town Council - Councillor for Victoria Ward & Deputy Leader

If you feel the sleight personally, why sign off as 'Councillor' etc?

I assume it was a reference to all the Nigerian emails about untraceable riches and diplomats needing to share the wealth, why do you feel uncomfortable?

If you are uncomfortable with this jocular statement based on factual experience then I see that as your problem not ours. Nigeria is the headquarters of scam emails and well you know it I'm sure. There was no hint of colour prejudice and perhaps you might want to take some comfort from that.

Why do people need to be so sensitive. Perhaps it might have been less of a problem for you if instead of Nigerian he had said Roumanian.