Taxation on landlords and rent relief

Hi,

I rent in a house and contribute to my landlords mortgage and I as a young professional am looking to climb the property ladder sooner rather than later. I would just like to point out that my landlord dose not pay tax or as they blatantly advertise on popular property wed-site's for example Daft "We do not accept rent allowance".
Now this seems to me to be very Irish indeed, as it is blatantly saying that there is a house to rent and the owner has just decided that they do not want to pay tax on the rent. I have a chip on my shoulder over this and I feel that anybody that pays tax should as well.
Now by my landlord not paying tax the only way for me to get my rent allowance/relief is to ask for it in cash. The problem with this is that if my landlord agrees to pay the relief in cash im still loosing out in the long run on my tax credit build up.

Please let me know your opinion on these thoughts. And if it is to hard for the tax office to track down these landlords that are not paying tax, why aren't the revenue taking a look at the likes of Daft and giving these people a call?

pudzer24 said:

I would just like to point out that my landlord dose not pay tax or as they blatantly advertise on popular property wed-site's for example Daft "We do not accept rent allowance".

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Why do you assume that there is a connection between tax evasion and non-acceptance of rent allowance? I know of several tax-compliant and PRTB-registered landlords who don't accept rent allowance (ie social welfare) tenants. To be honest, I think you are mixing up the social welfare rent allowance scheme (participation in which is voluntary for landlords) with the tax relief for tenants (which applies to all residential tenants).

If your landlord is evading tax and publicly advertising this on the web, then he is daft if you forgive the pun.

I think you may be mixing up rent allowance tenants were the local authority (council) pays the rent or the majority of the rent and the rent relief available to private rented accomadation. (20% of 1800 pa for 2007)

Complete the form for claiming the Rent relief. Present it to your landlord and give it to your landlord to complete. If he refuses, just present it to revenue, you do not need your landlords PPS number.

You both are correct I am mixing up the two. I retract on the rent allowance point. Thank you for pointing that out.
I have downloaded the form for claiming rent relief and intend to present it to the landlord this week. I will keep you posted on further developments. What would happen if I present this document to the revenue without the landlords PPS number, an investigation?

But do you not think that the amount of houses that are up for rent and actually been rented far outweigh the amount of people that are on the PRTB-register for landlords? In my experience and talking to my own age group that are in most of the renting population, it is a fact that most landlords don't pay tax.

You can send off the Landlords name without PPS number to revenue .
At some stage maybe when stamp duty revenue has dried up Revenue will have to pursue Landlords not declaring tax. They have more information than they ever did with non resident accounts -it just wouldn't be a popular move.

pudzer24 said:

YIn my experience and talking to my own age group that are in most of the renting population, it is a fact that most landlords don't pay tax.

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Is this "fact" based on something more substantial than your presumption about rent allowance?

How can you make such a sweeping statement about landlords ? Do you have actual proof of tax evasion ? Do all your friends and their peers have proof of this ? Just because they are landlords they dont have to produce a tax certs to all their tenants. I'm also giving you a chance to edit your post to adhere to posting guidelines of not attacking posters. If you know of any tax evasion you report it. Dont rant about it.

Pudzer74 you posted "I rent in a house and contribute to my landlords mortgage ".

You pay rent and in return you have a place to live - end of story. The landlords mortgage is nothing to do with you. How do you know he has a mortgage? How do you know he is not paying tax?. Are you paying a fair rent for a decent property. If so then you should be happy.

The fact that the Landlord advertises in the first place indicates to me that he pays tax as that is the quickest way to be caught out by revenue.