Notice to sell and RTB,Revenue

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Richie1974

Registered User
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Hi,

Apologies I am not sure if this is in the right thread, My query corresponds to a rental property, selling and the RTB

So with the new rental legislation incoming I am leaning towards selling up..

Am I correct in saying to serve a valid notice to sell/evict I wound need to register with the RTB and will that put me on Revenues radar for the last few years?

Or can I just create a new Tenancy for this year which is when latest tenancy agreement was signed , the tenant has been in the house for a few years.

And yes I know I should have registered with the RTB when I rented out at the start, I would be termed an "accidental landlord" who buried his head in the sand for long enough, trying to get everything sorted legitimately now.

Thanks
 
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Are you saying that you never filed an income tax return on this rental income? I assume that the stamp duty filing when you sell will alert Revenue that you sold a property and this might prompt a review of your filings.

If you have never filed a return, I would urge you to start gathering all the information that you need to remedy this - rental income and all rental expenses that you incurred that will offset this. Not being registered with the PRTB means that you can't claim the interest portion of any mortgage on the property as a deduction. You should probably engage with an accountant who can assist you in getting these late filings in and present your case to Revenue.
 
misemoi said:
Are you saying that you never filed an income tax return on this rental income
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For 2 years I did when the house was with a receiver, noticed there was no declaration when I was on revenue website .
I have been gathering information recently to update , in my ignorance the Rental income and costs barely covered the mortgage (which is why I am selling) so I presumed tax would be practically zero and ignored it.
 
You need to get a tax agent on board right now.

Gather up all your paperwork on outgoings, mortgage interest, insurance, maintenance.

Make up a file & set up a meeting.
 
Richie1974 said:
in my ignorance the Rental income and costs barely covered the mortgage (which is why I am selling) so I presumed tax would be practically zero and ignored it.
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Rental profit = gross rental income less interest on mortgage less other allowable expenses.


Some people think that the entire mortgage repayment can be deducted from the gross rent. This is false.
 
I think the most important thing is not to ignore it now. Whether you sell now or not the facts will still exist and so will any liability. You will probably need assistance in calculating what you owe and also to ensure that you have considered all the offsets available, eg I am not sure if you can "late" register the tenancies, especially if it has been the same tenant.

Also if the market has improved, the proceeds of the sale after you have settled any outstanding mortgage might be used to settle any Revenue debt. Take a look at recent sales prices for similar properties and do a check as to what you will be left with after settling debts and any CGT, bearing in mind any exemptions available to you for CGT (eg when it was your home, 1 year after sale, working abroad etc).
 
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