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Here are the 12 strategies our tax experts are sharing with you as part of your free trial:
- Can A Lettings/Management Company Get Around The ‘Osborne Tax’? A Property Tax Insider reader writes: 'It seems landlords are being advised to set up a 'lettings/management' company to get around the interest relief reductions. The aim is that their company will then charge 'letting/management' fees to reduce the interest tax rate hit. Please, can you comment on this.'
- Claiming Tax Relief On Your Main Residence! The general press is awash with articles about how the new tax regime restricting interest relief will affect buy-to-let (BTL) landlords over the next few years - and what landlords should be doing about it. But these articles are not always accurate, or correct; some of the advice indicates a fundamental lack of understanding about how the new tax regime works.
Alan Pink looks at the use of companies for such a scenario and shares some practical tips and pointers for those considering such a strategy...
Lee Sharpe reveals a little-known strategy on how despite the restrictions, you can still claim tax relief for interest paid on the mortgage on your main residence....
- When Are Deposits From Tenants Taxable? The tax treatment of security deposits received by landlords has been thrown into the spotlight by the consultation on the cash basis becoming the default method of taxation for eligible unincorporated property businesses, which was expected to be introduced from 6 April 2017.
Lindsey Wicks examines the tax treatment for landlords of security deposits...
- Dilapidation Receipts – Income Or Capital?
Some tenants treat the residential property they rent with great care. Unfortunately, others do not, and the landlord may receive dilapidation payments from the tenant to enable the landlord to restore the property to its former condition at the end of a tenancy.
Mark McLaughlin highlights a case on whether a tenant's payment in respect of lettings which had become dilapidated was income or capital in the landlord's hands...
- Private Residence Relief: Another Disappointed Taxpayer!
Private residence relief (PRR) for capital gains tax (CGT) purposes is potentially very generous.
Mark McLaughlin highlights a potential problem for taxpayers wishing to claim private residence relief on a property disposal...
- New Cash Basis Rules -A Gamechanger For Landlords
HMRC’s ‘making tax digital’ (MTD) strategy aims to transform the UK into one of the most digitally advanced tax administrations in the world.
Sarah Bradford looks at the extension of the cash basis to unincorporated property businesses as part of the move to a digital tax world...
- Running A Property Through A Company? Expenditure Checklist
The rapid rise of owning properties through a company has seen a large annual jump, with the latest report from Countrywide revealing that 1 in 5 properties are now owned via a company. This is the highest proportion since records began in 2010.
Lee Sharpe looks in more detail at the real costs of running a buy-to-let portfolio through a limited company...
- 'Making Tax Digital' For Landlords - Revised Timetable Explained
Making tax digital’ is HMRC’s project to transform the tax system.It is famously associated with the claim that we will see the end of the annual tax return.
Lindsey Wicks examines the impact on landlords of the revised timetable for HMRC’s ‘making tax digital’ project...
- Restricting Interest Relief - The Real Impact On Landlords
From 6 April 2017, tax relief for finance costs is gradually being restricted. As many landlords and tax practitioners are finding out, the calculations are not quite as simple as one thought.
Sarah Bradford takes a look at what the new restrictions on interest relief mean for landlords with differing property portfolios...
- Private Residence Relief: Tables Turned On HMRC!
Individuals who dispose of a dwelling house sometimes find themselves in disputes with HM Revenue and Customs (HMRC) over whether private residence relief (PRR) is due on the disposal of the property for capital gains tax (CGT) purposes. Numerous cases have reached the courts and tribunal over the years.
Mark McLaughlin highlights a case in which the burden of proof was on HMRC in respect of a taxpayer’s private residence relief claim...
- All Change For Property Taxation
There are numerous property tax changes that take effect from April 2017. Some were enacted back in 2015, while others were confirmed as recently as 31 January 2017.
Lindsey Wicks takes a look at tax changes in the property tax arena that come into force from April 2017...
- Pay Your Property CGT Bill In Instalments Over 10 Years!
Lee Sharpe looks at a potential fall-back option, being the opportunity to pay CGT by instalments, over up to ten years, which may help to draw some of the sting of a large CGT bill...
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