Landlords face a range of accountancy and tax issues which have never been more complex than now to navigate. Previously, many investors have seen steady growth in both property values and rental income while enjoying a relatively attractive tax relief on financing costs.
Recent changes to the tax system are now prompting property investors to seriously reconsider how to structure or restructure their businesses with a view to minimising their tax liabilities.
Some landlords are moving their properties into a company and purchasing any additions to their portfolio through the same company. While this may be the best course of action for some, the options need to be evaluated on an individual basis.
For those just starting their property businesses it is essential to consider how tax might affect the returns they achieve.
We do more than just file your tax return
Phillips & Co Accountants do more than just fill out and submit your tax return.
We make sure you’re getting the most out of your properties by:
Advising you on special tax reliefs available to landlords,
Advising you on how to purchase properties with tax-efficiency in mind,
Advising you on the accounting records you need to keep,
Advising you on how to invest your rental income.
Landlords face yet more taxation changes this tax year, with the phasing out of mortgage interest tax relief reaching its final stage and capital gains tax receiving a number of tweaks.
It doesn’t matter whether you are a residential landlord or a commercial landlord, it’s likely that your tenants will be affected by the Covid-19 pandemic in some way, shape or form.