Summer Budget 2015 – Landlords Reactions

Woah....hold on a moment....am I losing the plot here. I saw a moment ago a comment posted by Dyslexic Landlord about approaching lenders to engage them in the campaign which I planned to go back & read after replying to Trendo but now find it's no longer there. At a quick glance when I earlier skim read DL's posting, I saw nothing offensive so why has this been removed?

Reply to the comment left by "Saeef Khan" at "10/10/2015 - 11:48":

It's disappointing to say the least about the NLA's contribution especially when one considers the background of the
NLA Chief Executive; Richard Lambert:- (copy/pasted from the NLA site)
Richard Lambert joined the National Landlords Association as its first Chief Executive Officer in October 2011. He began his career as a parliamentary civil servant in the House of Commons, where over 10 years he worked on Select Committees, various aspects of the legislative process and interparliamentary affairs. Following a brief spell in commercial lobbying, he moved into trade associations, spending five years as the Policy Director covering residential issues at the British Property Federation, then becoming Chief Executive of the British Woodworking Federation in 2002. He is a Fellow of the Royal Society of Arts and a former Chairman of the National Training Organisation, Housing Potential. The National Landlords Association (NLA) is the UK’s leading organisation for private-residential landlords, working with over 39,000 landlords, 21,500 of which are paying members. These range from full-time landlords with large property portfolios to those with just a single letting. It currently employs over 40 full-time staff and has a network of more than 50 regional representatives and branches throughout the UK. NLA membership helps landlords make a success of their lettings business by providing a wide range of information, advice and services. The association campaigns for the legitimate interests of landlords and encourages a fair and balanced private-rented sector by seeking to influence all levels of government and making landlords’ collective voice heard in the media. It seeks to raise standards in the sector while aiming to ensure that landlords are aware of their statutory rights and responsibilities.

Reply to the comment left by "Laura Delow" at "11/10/2015 - 10:14":

"The association campaigns for the legitimate interests of landlords and encourages a fair and balanced private-rented sector by seeking to influence all levels of government..."

.........FAILED

The housing bubble and its aftermath also created an opportunity for Wall Street, as investment firms used the opportunity to snap up cheap foreclosed homes and build rental empires. Private-equity firms, hedge funds and other institutional investors accounted for nearly 6.5 percent of single-family home purchases in 2012, according to a recent research note from the Federal Reserve, up from less than 1 percent in 2004.
What’s it like when Wall Street is your landlord?
“They handle you beautifully from the door, but once you get in the house, all hell breaks out,”

Janet Portman, a lawyer who has written several books on landlord and tenant rights and is managing editor of nolo.com, a website that answers legal questions.
http://nypost.com/2014/06/15/10-things-your-landlord-wont-tell-you/

http://www.landlordzone.co.uk/landlordzone-update/is-the-buy-to-let-boom-over-2

The large institutions it would seem have the ear of the Chancellor and have been very successful in lobbying for tax incentives and loan guarantees in stark contrast to the way the traditional landlords is now being treated.
The British Property Federation (BPF) has said there is £30bn of private institutional finance ready to enter the rental market to provide long-term private sector rentals and create:
“…an American-style rental market where single companies own large portfolios of homes…And most importantly, for renters, it will revolutionise the sector, providing greater choice of tenure length, rent certainty and high levels of customer service.” – Melanie Leech, chief executive, British Property Federation.
The Group Chief Executive of Legal and General goes even further by calling for: “an end to the cottage industry ownership of private rented housing in the UK.”

4.6 Interest and loans
4.6.1 Interest deduction
The principles for achieving tax relief for interest paid on loans taken out to fund a property letting business are the
same as apply for any other business (BIM 45700).
Where a company takes out a loan to finance a property business, the interest and charges due on that loan are
dealt with under the rules for loan relationships within the company. That can mean that relief for interest paid
is given at a different time than it would be where the borrower is an individual. The loan relationship rules are
complex and are not covered in this guide.
It is irrelevant whether the borrowings are short or long term, or how the loan is secured; as long as the loan is
used to fund the letting business the interest and costs incurred in respect of that loan will be tax deductible (see
PIM 2105, PIM2066). The loan can be used for any purposes within the property business; to buy property, fund
repairs, improvements or alterations.
4.6.2 Increasing a mortgage
HMRC clearly consider that tax relief can be given on 100% of the capital value of the property as it stood at the
time it was brought into the letting business.

Until GOdecides to rob us

4.8 Cost of landlord’s time
A landlord cannot make a deduction for the cost of his own time in the accounts for his unincorporated property
letting business. However, a landlord may pay wages to another family member out of the property business,
where that individual undertakes some real work for the property letting business
The amount paid to the family member must be reasonable, and the fee must actually be paid, not just accrued
in the property business accounts. The landlord should also pay the family member under PAYE, and deduct any
National Insurance Contributions (and pay employer’s national insurance contributions) applicable where the
amount paid exceeds the PAYE threshold.
Where the property letting business is operated through a company, the landlord is likely to be the shareholder
and director of that company (see 5.3). In that case the company can pay the landlord for his time as an employee
of the company.

Reply to the comment left by "Ros ." at "10/10/2015 - 22:22":

David Gauke pp DC and GO, GO himself, Tony Blair and (of course) the actual conman (not DC) whose trial it was said at and whose name I can't remember - the bloke who pretended to have cancer and various investment ideas to con money out of women.

5.3.4 Transfer to a company
Where the individual already holds the let properties in his own name the transfer of those properties to a
company may well incur SDLT or LBTT charges (see chapter 10). Capital gains are also likely to arise on such
transfers, but if the entire letting business is transferred incorporation relief should apply to roll-over those gains
(see 7.6).
7.6 Incorporation relief
Gains arising on the transfer of a property letting business from the ownership of one or more individuals to a
company should be sheltered from CGT by incorporation relief under s 162 TCGA 1992. This relief is automatic
where the conditions are met (no claim is required), which are:
• the business must be transferred as a going concern;
• all the assets of the business must be transferred, with the possible exception of cash; and
• the transfer must be made wholly or partly in return for new shares issued by the company to the transferor.
Incorporation relief does not require a trade to be present. A property letting business is not treated as a trade
(unless it is FHL) but it is a business and that should be sufficient for incorporation relief to apply as was examined
in Ramsay v HMRC [2013] UKUT 226 (TCC).

Reply to the comment left by "KATHY MILLER" at "11/10/2015 - 14:56":

"it will revolutionise the sector, providing greater choice of tenure length, rent certainty and high levels of customer service."

No doubt higher levels of Customer service from an Indian call centre, like you get from big internet providers like Virgin media and Talk talk, as opposed to the small independent ones like ZEN.