Can I grant a commercial rental agreement of a property I own into a company of which I am one of the directors such that the company pays me a small rent and the company receives the rental income (i.e. a ‘rent to rent’ arrangement)?
Arthur Weller replies:
You can do this if you have two separate independent rental agreements; one between yourself and the company, and one between the company and the tenant. The rental agreement between yourself and the company should give the company the right to sublet the property. You are in effect shifting rental income from yourself to the company. HMRC generally accept this arrangement.