Post-Clause 24 – what should I do with my properties?

By specialist property accountant Stephen Fay ACA

Clause 24 is the legislation that has now been given Royal Assent and so will mean restricted mortgage interest relief for landlords from April 2017 to the Basic Rate of income tax (20%), albeit on a sliding scale for 4 tax years to 2020-21. (See previous articles on this topic in YPN, and on our website).

As a result, for those landlords who don’t wish to (or are unable to) fully-incorporate their portfolio – see next month’s article – there is now the unenviable and unforeseen task of having to re-assess whether each rental property held makes sense to be retained personally with a mortgage, given the potentially punitive tax chargeable to do so.
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Using the Personal Savings Allowance from April 2016

By specialist property accountant Stephen Fay ACA

A new Personal Savings Allowance (PSA) is being introduced from April 2016, which could have some useful benefits to property investors who also lend money, and for those with a significant credit balance on any director’s loan account they may hold. This article explains how to make use of the PSA, and how to communicate the value to JV investors.
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Can capital allowances be claimed on a HMO – the definitive answer

By specialist property accountant Stephen Fay ACA

Many investors are confused about whether capital allowances can be claimed on residential properties, and in particular, HMOs. This article aims to clarify the current position (at October 2015) so that investors have clarity about whether capital allowances are claimable on their HMO property. Continue Reading »

Changes to dividend taxation explained – from April 2016

By specialist property accountant Stephen Fay ACA

The July 2015 Budget saw a number of unwelcome tax changes, including a new dividend tax regime which commences from April 2016. This article sets out the new changes, and what can be done to mitigate the impact of the new rules. Continue Reading »

How to use funds in your non-property company to tax-efficiently fund your property investing

By specialist property accountant Stephen Fay ACA

Most property investors have a ‘day job’ limited company – whether a contractor / consultant company, or a more traditional business – which has excess cash that can’t be extracted without incurring at least an 25% tax charge. This article looks at how such funds can be used for property investing, without incurring a tax charge. Continue Reading »

Mortgage interest relief restricted for landlords – part 2: tax-planning options

By specialist property accountant Stephen Fay ACA

The July 2015 Budget changes to mortgage interest relief will, for some landlords, create significantly higher tax bills. This article explains what tax-planning options are available, and the benefits and issues of each.
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Mortgage interest relief restricted for landlords – part 1: Are you affected?

By specialist property accountant Stephen Fay ACA

The July 2015 Budget saw several key changes that will impact landlords in the future – by far the most important is the restriction on mortgage interest relief. This article explains the change, and enables readers to check if the affects them and approximately by how much, and provides some initial pointers as to how to mitigate the impact of this change. Continue Reading »

Finance interest – what can be claimed?

By specialist property accountant Stephen Fay ACA

Most property investors use mortgage, and other finance types, to fund their property rental business, and so have to pay interest in order to do so.

This article looks at what finance interest can be claimed as tax deductible, and how relief is obtained.
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Getting a tax deduction for employing your children in your property business

By specialist property accountant Stephen Fay ACA

Many property investors need help with managing their business, and involving their children has a number of potential benefits, both financially and otherwise.

This article looks at how investors can get a tax deduction for employing their children, or child in their property business, and how to ensure that this is done lawfully.
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How could investing in an SEIS-company help property investors?

By specialist property accountant Stephen Fay ACA

SEIS is the ‘Seed Enterprise Investment Scheme’ was introduced in 2012 and extended in 2014, and enables certain types of small companies to raise finance while offering generous tax incentives to investors.

This article looks at how SEIS tax reliefs work, both for income tax and capital gains tax, and key amounts and dates to be aware of when considering making an SEIS investment.
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