Warning issued over tax return completion

The completion of a self-assessment tax return may be made more complex as a consequence of property ownership, it has been claimed.

According to a report by Neasa MacErlean in the Guardian, those with one or more properties containing tenants will need to ensure their returns are completed correctly.

Ms MacErlean believes that approximately one million individuals are affected.

Income derived from buy-to-let arrangements should be submitted within the category entitled other property income.

"Assume the revenue will look at buy-to-let in a bit more detail. Make sure you have information to back up your figures," said Richard Murphy, a chartered accountant.

Mike Warburton, a representative from accountancy firm Grant Thornton, added: "The revenue has seen buy-to-let as a risk area; it's on their target list."

Self-assessment tax returns should be submitted to HM Revenue & Customs by January 31st 2008.

HM Revenue & Customs was created following the merging of Her Majesty's Customs and Excise with the Inland Revenue.