High Value Commercial Property Lets (AML)
The documents in this subfolder are for use by Commercial Property Lettings
Agencies that deal with high value lettings at a rent which during at least
part of that period is, or is equivalent to, a monthly rent of 10,000 euros
Under The Money Laundering and Terrorist Financing (Amendment) Regulations
2019 (‘the 2019 Regulations’) letting agents dealing with high value lets
are required to comply with anti-money laundering regulations when they
come into force on the 10 January 2020.
As a letting agent, if you fall within the following definition, you will
need to register with HM Revenue and Customs from 10 January 2020, and as a
regulated business you must put in place a number of policies, controls and
procedures to anticipate and prevent your business being used by criminals
to launder money and fund terrorism when dealing with monthly rents of
10,000 euros or more.
“Letting agent” means a firm or sole practitioner who, or whose employees,
carry out letting agency work, when carrying out such work.
“letting agency work” means work:
(a) consisting of things done in response to instructions received from:
(i) a person (a “prospective landlord”) seeking to find another person to
whom to let land, or
(ii) a person (a “prospective tenant”) seeking to find land to rent, and
(b) done in a case where an agreement is concluded for the letting of land:
(i) for a term of a month or more, and
(ii) at a rent which during at least part of the term is, or is equivalent
to, a monthly rent of 10,000 euros or more.
The subfolder contains a template Commercial Property Lettings Agency Firm
Wide Risk Assessment, a template Commercial Property Lettings Agency
Anti-Money Laundering Policy and a template Commercial Lettings Agency
Client Identification Form and Risk Assessment Form. These templates are
intended as a starting point to assist you in implementing the requirements
set out in the 2019 Regulations. You must still review the 2019 Regulations
and guidance from HM Revenue and Customs to ensure that as a regulated
business you are complying fully with the legislation. You must seek
professional advice if you are unsure as to how the 2019 Regulations affect
you and how you are to edit and complete these templates.
Guidance from HMRC on the money laundering regulations can be accessed
here. We expect HMRC will produce specific guidance for letting
agents on money laundering supervision in due course but at the time of writing
this has not yet been published.
Failure to comply with the 2019 Regulations can result in civil penalties
or criminal prosecution. Senior managers and nominated officers can also be
found personally liable for a breach of these regulations.
These Anti-Money Laundering Documents for High Value Commercial Property
Lets are part of the Property Documents Folder. Just £35.00 + VAT will
provide you with 1 year's unlimited access to download all/any documents
from the Property Folder.