roll_over
13th Nov 2014, 08:35
Hi there,
I'm looking at buying a property in London to let out, I would like to know if anyone can recommend any companies that can advise the best ways to minimise tax as I'm sure there are a lot of loopholes available to UK nationals. The prices by the way make Abu Dhabi seem cheap!
Many thanks
777boyo
13th Nov 2014, 09:40
Roll Over.
I would suggest that you ask the company you use to Let/Manage the property about Tax advice relating to the rental. Most reputable agents, Foxtons or Chestertons for example, have in-house tax accountants who will offer advice for a fee which almost certainly will be less than a firm of specialist tax advisors would charge. The situation may be a bit more complex if you have other sources of income in the UK, in which case a specialist firm of tax accountants or someone like Fry and Co might be warranted.
With all the cost items you can offset against your rental income tax (mortgage interest, depreciation, maintenance. agency and legal fees etc) you shouldn't have to pay tax. However, you should also be aware that there is a nasty proposal from Mr Osborne to remove Non Residents' Personal Allowance, which currently is around GBP 10,000. Only a proposal at the moment and consultations are taking place. If introduced it would probably become effective after the next Budget, for the next Tax year beginning April 6th, I believe, 2015.
Hope this helps.
7B