Landlord - Business or Not

DoaM

https://forums.moneysavingexpert.com/discussion/5927963/you-must-report-any-queries-within-5-days-legit

With reference to the above thread, the consensus of opinion (other than that of the OP) was that being a landlord (i.e. renting out a property and gaining income from it) means the landlord is acting in the course of a business.

What say you?

hazyjo

See another discussion:


https://forums.moneysavingexpert.com/discussion/5589577/being-a-landlord-is-not-a-business

Comms69

Well it's not a hobby is it?

pmlindyloo

I think people get confused when they use the word business.

Renting out a property is a business in 'loose terms' since you have specific legal requirements to follow.

However, in the true sense of the word 'business' it depends as laid out here:

https://www.gov.uk/renting-out-a-property/paying-tax

theartfullodger

DoaM wrote: »

https://forums.moneysavingexpert.com/discussion/5927963/you-must-report-any-queries-within-5-days-legit

With reference to the above thread, the consensus of opinion (other than that of the OP) was that being a landlord (i.e. renting out a property and gaining income from it) means the landlord is acting in the course of a business.

What say you?

Why do you ask?

a) To check if you need business cover on car insurance for travel as a landlord (yes, you do...)?
b) Does the lease of his home need to permit business use ?? (no...)
c) Does he need to declare ALL his rent income to tax-man as he's running a business (yes...)
d) Should he bang on about what a wonderful benefit he is to the community as a kind and benevolent landlord helping those poor downtrodden tenants? (not if he has any sense..)
e) Can he claim his business expenses from taxman ? (yes, for some, depends on which of the 10+ taxes a landlord may pay that you are thinking about..)

davidmcn

As above, and as I've commented on the thread linked to, there isn't an all-encompassing definition of "business", so it depends exactly what laws you're talking about.

DoaM

In respect of the thread linked, it's whether when a landlord purchases goods/materials/services in relation to the rental property, is he/she purchasing as a Consumer (therefore has the full set of of rights afforded by the Consumer Rights Act and the Consumer Contracts Regulations) or as a Business (therefore is subject to SoGA and the specific contractual terms between seller and buyer - which can contract out certain consumer rights).

I don't know for sure the answer, but my opinion is that the landlord is acting in the course of a business, therefore consumer rights do not apply. That's what I'm asking for other opinions on here, as the contributors to this board have a broad depth of knowledge in relation to rental properties and landlord rights and responsibilities.

theartfullodger

Don't think there's much point speculating. Are you asking for a particular claim you are making under consumer protection laws?

In my experience most landlords think they should get the full consumer protection. And many likely claim on the basis they are the householder: Skipping into the shop they bought from (eg Argos..) "I bought this tele, it's bust, want me money back!".

And wise suppliers usually think they should not.

There is nothing to stop an aggrieved rejected landlord suing a supplier for not providing what he thinks he's entitled to.

£15 to an agreed housing charity for reference to 1st case quoted and evidenced where a landlord has successfully got his money though the courts having been initially rejected by supplier.

Artful (landlord btw...)

DoaM

For the avoidance of doubt ... this discussion is not about me at all. Please see the thread linked in my OP for background. Most respondents in that thread were of the opinion that the OP in that thread was acting in the course of a business, thus consumer rights did not apply. That OP disagreed.

I started this thread to see what the good folks in the Housing board thought about it.

Cakeguts

I am selling space to live in. I think that is the same as selling sofas, food, cars and anything else you can think of.

iamtati

That's a good investment.