Does the PRTB sanction landlords who have not registered with them? Tip off Revenue?

L

legallady

Registered User
Messages
185
Hi there

I was just wondering if any of you have heard of the PRTB fining landlords who have not registered with them?

Also, if a landlord is fined, is Revenue tipped off to pursue Stamp Duty/Income tax?

I'm asking on behalf of a friend who went to Oz and rented his place. He never registered with the PRTB as he never heard of them. His tenants have now lodged a complaint. He was living in his house for 3 years before he rented it out. He bought it 5 years ago.
 
Re: Non registration with PRTB

Sounds like your friend potentially has lots of issues, but so do the tenants!

Any landlord has to register the tenancy within 6 weeks, it's up to each landlord to stay up to date with legislation. All landlords should also declare income for tax.

But here's the bit where tenants come in, tenants of non-resident landlords are supposed to withold 20% of the rent to forward directly to Revenue so the tenants have potentially landed themselves with a big bill.

What's the nature of the complaint? Surely it could have been sorted without escalation to the PRTB?
 
Re: Non registration with PRTB

shesells said:
tenants of non-resident landlords are supposed to withold 20% of the rent to forward directly to Revenue so the tenants have potentially landed themselves with a big bill.
Click to expand...

And Revenue have far, far more bite than the PRTB!
 
Re: Non registration with PRTB

shesells said:
But here's the bit where tenants come in, tenants of non-resident landlords are supposed to withold 20% of the rent to forward directly to Revenue so the tenants have potentially landed themselves with a big bill.
Click to expand...

Just out of interest sake. This is the first time I've ever heard about this and it pertains to my situ??? rent is €750/month and landlady lives in UK and is totally non resident here. I'm 5 months in to my lease now.... What does this mean in my case????

She has not fulfilled any of her legal obligations at alll it turns out and we're having loads of hassle with the house with damps etc. She's nice though so we've offered her 28 days notice.... What's the story with the tax thing though?
 
Re: Non registration with PRTB

You may be liable for 20% of your rent so for the past 5 months...technically you owe Revenue €750..contact Threshold or email [email protected] for proper information.
 
Re: Non registration with PRTB

I'm so angry.... How could I be liable?? The money has changed hands??? Surely to god the landlady would have to repay that out of the money I've paid her????
 
Re: Non registration with PRTB

legallady said:
Hi there

I was just wondering if any of you have heard of the PRTB fining landlords who have not registered with them? Also, if a landlord is fined, is Revenue tipped off to pursue Stamp Duty/Income tax? I'm asking on behalf of a friend who went to Oz and rented his place. He never registered with the PRTB as he never heard of them. His tenants have now lodged a complaint. He was living in his house for 3 years before he rented it out. He bought it 5 years ago.
Click to expand...

Like Towager said I'd be far more worried about the Revenue. You friend needs to hire an accountant to try and get this sorted, it's very serious, there is a potential liability for Stamp Duty, penalties and interest on this are mounting daily, ditto for income tax as the mortgage interest is not allowable against the income as he is not registered with the PRTB.
 
Re: Non registration with PRTB

Surley just because the landlord is not registered with the PRTB does not mean he/she is automatically not paying income tax on rent?
 
Re: Non registration with PRTB

@rory22, the only way the landlord can pay tax on the income is to declare it. Are you suggesting that the landlord is paying tax on the gross amount of the rent (no deductions for insurance, agent's fees, mortgage interest, etc)? That would be a very unusual circumstance, unprecedented perhaps.
 
Re: Non registration with PRTB

PaulyB63 said:
I'm so angry.... How could I be liable?? The money has changed hands??? Surely to god the landlady would have to repay that out of the money I've paid her????
Click to expand...

It's a confusing one

see http://www.revenue.ie/en/tax/it/leaflets/it70.html#section17

and

[broken link removed]

Not sure if you can be chased at this stage for the past 5 months but not sure if you can claim tax relief on rent for that time either. You need to speak to Threshold or email citizens information to see where you go from here.
 
Re: Non registration with PRTB

So.... Given I have paid 5 months rent so far.... If I withhold the entire amount for this month and pay it to revenue, that's me in the clear? ie.... 750 is my 20%???

Is it legal for me to do that?
 
Re: Non registration with PRTB

Contact Citizens info or Threshold to find out how to do it, you will also need to inform your landlord...please do get proper advice
 
Re: Non registration with PRTB

My mum has a few self catering units adjacent to her house. Due to poor market conditions, these are now let to people, no lease, just pay and tenants can move out if whenever. This was the she wanted to do it as she did not want any hassle. She had a agreement with people that she would be able to clean the units every so often and this was her way of making sure everything is ok in there.

Cash is not accepted etc and everything is being fully declared from a Revenue and NPPR perspective.

However, she did not register with the PRTB. From what people I know (tenants & landlords) that had dealings with them, they all said they were the greatest waste of time ever. A cousin had trouble with tenants who were wrecking a house on him, PRTB were useless, and he ended up having to pay €3000 to convince the tenants (effectively a bribe).

I was a bit peeved when three letters arrived demanding €140 each and my name was jointly on the letters (even though I do not have anything to do with it legally). I am fairly sure what triggered this was that one tenant got made redundant and mum signed a rent assist for him.

This might sound petty, but I am totally opposed to paying a crowd that are just a useless agency. I’d have no problem if a lease was in place or paying money if a dispute was to arise.

I really do not want to pay these wasters. Any suggestions? Have a good relationship with the tenants and they would be game for anything. Was considering saying I lived in one of the units with a tenant. I know she is kinda snookered with the unit where rent supplement is being claimed.

I know this sounds petty but for some reason I just have it in for this crowd.
 
Re: Non registration with PRTB

Nobody wants to pay the PRTB but it's the law!! If you falsely declare that you are living there you are committing a criminal offence.
 
Re: Non registration with PRTB

I totally agree with you, the PRTB is a stealth tax on LL and a waste of time.

However...

molbruger said:
Cash is not accepted etc and everything is being fully declared from a Revenue and NPPR perspective.

However, she did not register with the PRTB.
Click to expand...

If she gets audited, then she better have paid tax on the entire amount of rent and she cannot deduct her mortgage interest! The mortgage interest (usually the largest "expense" you can claim as a landlord) is only allowable when you are registered with PRTB in the same month as the tenant moves in. EVEN if she was to back date the PRTB registration she could not actually deduct mortgage interest off the income from rent. She would need to be paying tax on the interest as well or she is not accurately declaring tax to revenue.
 
Re: Non registration with PRTB

yankinlk said:
I totally agree with you, the PRTB is a stealth tax on LL and a waste of time.
Click to expand...

But it's still a legal requirement that you register with them. I would love not to have to pay but complying with the law is not optional.
 
Re: Non registration with PRTB

shesells said:
But it's still a legal requirement that you register with them. I would love not to have to pay but complying with the law is not optional.
Click to expand...

ohmigawd did you even read my post?

No one is going to get arrested for not registering for the PRTB - but you certainly are taking a chance with the revenue if you dont register and try and claim your mortgage interest as a relief.

There are plenty of landlords out there doing neither unfortunately.
 
Re: Non registration with PRTB

yankinlk said:
ohmigawd did you even read my post?
Click to expand...

Yes I did - the post which started saying the PRTB are a waste of space.

From citizens information - Landlords who fail to register may be fined up to €3,000 and face imprisonment for up to six months on conviction. A further penalty of €250 for each day of non-registration may be levied.

Of course it is essential to keep Revenue compliant but this thread is about PRTB registration.
 
You must log in or register to reply here.
Back
Top