Property Tax Accountants

Property Tax Accountants

The added value of Property Tax Accountants

Investing in propertyhas become a household occupation in the UK over the last 20 years.  With some of us landlords owning just one buy to let property or turning it into a business creating a portfolio of properties.  Others of us have decidedto invest in property development projects making substantial capital gains as we went along.  Whatever style of investment we adopted in, one inevitable consequence is that of taxation,be it in the form of capital gains tax, income tax, stamp duty etc.

Over the years the incumbent political parties have altered the landscape of capital gains regime on investment properties several times. Such that getting advice from Property Tax Accountants becomes vital part of our decision making in the final returns of property investment. Whether you are a landlord holding a single property, or holding multiple properties, even under a shelter of a limited company, as a developer or a construction firm, we are all subject to a property related tax.

With the economy continuing to evolve and government policies forever changing its’ never been so important to have a Property Tax Accountants on side to ensure the best possible returns are gained and even more importantly the correct taxation is calculated and settled on time. For example there are instances and exceptions where income tax may apply instead of capital gains tax so it becomes very important to establish the applicable regime of tax as income tax rate can be far higher than capital gains tax rates.

Investing in property is a high risk business regardless of your budget be it in thousands or millions, the gains or losses can be substantial if you get your sums wrong. Equally, if an incorrect tax rate or regime is applied, it could result in a nasty surprise when a Revenue prompted enquiry commences. 

Going forward, timely advice sought and gained from Property Tax Accountants continues to be essential and dare say, crucial.

Over the next few years HMRC will be phasing in a restriction on the tax deductibility of interest payments on your buy to let mortgage.  There are a number of ways of mitigating the consequences but it depends on individual circumstances and planning.  There are also a number of  compliance issues to be met for example from the 6th April 2018 the government are introducing a policy whereby there will be quarterly reporting and landlord will be caught by this new form of reporting.

A tax payer has a clear choice of either trundling through the maze of taxation and living with the consequences of their property transaction as they present themselves, or better still the absolute key to a desired tax effect comes from careful and selective tax planning from expert Property Tax Accountants beforehand.

Happy property investing!