Red Wall & Stairs

Property Tax & Capital Gain Tax

 

Property Tax & Capital Gain Tax

Are you a buy to let investor, property dealer or developer? Our main goal is to save you tax while making sure you stay off HMRC’s radar. 
The way in which letting income is taxed has changed significantly since April 1995. Letting property is now treated as a business and the profits are calculated by using ordinary accounting principles, including an accruals basis where appropriate.
Once again property market is on the rise however lenders are looking for investors to make verifiable profits and capital gains from their property investing but on the other hand investors are looking to pay the least tax possible by showing minimal profits.
Given that the property business is capital intensive business to be in, raising finance is obviously vital to property investors. In order to remain mortgage-able, lenders expect to see professional-standard property accounts, as well as the usual tax returns, whether you are a sole trader, private investor, company and partnership. 

Property tax is a bit of a maze and we can advise you on issues such as:



  • Tax reduction strategies for rental income;

  • What is a repair and tax deductible and what is capital and not;

  • When to use a Limited Company to save tax;

  • Trading income versus Capital Gain considerations and advice;

  • Capital Gains rollover and holdover considerations;

  • Stamp Duty planning;

  • Tax efficient mortgage structures;

  • VAT considerations of property deals;

  • Making the most of the Principal Private Residence election;

  • Tax issues on the sale of part of your residence;

  • Second homes;

  • Tax advantages of furnished holiday lettings;

  • Inheritance Tax angles. .

For more information please do not hesitate to contact us.