Changes ahead for landlords

Free landlords evening Burton upon Trent

Well actually that’s not strictly true as the changes have already begun. If you have invested, or are planning to invest in property then you need to be aware of the changing environment and how this may affect you. So you need to understand what you are doing and the best way for you to do it.

Are private landlords under attack? – The headline news over recent years has been the limiting of relief on mortgage interest. However these changes are aimed at restricting higher rate tax relief so will not impact on basic rate tax payers, for now. And there are still the Capital Gains Tax benefits available to individuals that are not available with other types of ownership. The first step should be to find out if and how you are affected.

What if you let multiple properties as a business? – Firstly you need to understand when this stops being income from land and property and crosses over to being a trade or profession. How do lenders react, what are the critical numbers and what are the tax and NI implications? Here it is best to understand the advantages and disadvantages to make sure you are positioning yourself correctly.

Should you hold properties in a limited company? – Using a limited company is almost a totally different proposition. It can provide challenges if you want to raise finance. It also opens up opportunities with regard to methods of remuneration, transferring assets, inheritance tax, capital gains etc. All of which needs to be considered and where professional advice from the right people could be invaluable.

Can I use my pension savings? – Specific advice can only be offered by licence Financial Advisors. The main general rule is that pension schemes can only own commercial property and they cannot own residential property. However there can be huge tax advantages in this option, with many permutations possible. The key here is using a team of advisors that apply joined up thinking.

What other options are there? – If you are not in the know it would be easy to think the above paragraphs just about cover the options available. If you are in the know you may want to look at the opportunities offered by Enterprise Investment Schemes and other methods of achieving investment efficiencies. Once again the crucial element is having the right team of experts on your side.

Why not come to our landlords evening? – On Wednesday 11th April 2018 Alexander Accountancy, Cedar Financial Planning and Fellows Lettings are holding a free event for landlords at The National Brewery Centre in Burton on Trent. This is the ideal opportunity to sense check what you are doing and to see if it can be improved without any cost or commitment.

If you would like to join us for the evening please book on by clicking the button below

Alexander Accountancy - accountants Burton on Trent

 

email da***@al*******************.uk or telephone 01283 743851.