Buy-to-Let Property (BTL), Investment Property, Rental & Tax
Buy-to-let property is now a common feature of most tax payers’ self-assessment tax returns and the UK Housing market. There are a number of tax liabilities you will be faced with when investing in and renting out a Buy-to-Let property (BTL). VP Associates are first and foremost taxation specialists. With our extensive experience and buy-to-let property tax expertise we assist our clients through the various tax liabilities they come across as they buy, sell or rent out the buy-to-let property (BTL). These may be Stamp Duty Land Tax, Income Tax, Capital Gains Tax (CGT) and Inheritance Tax. Significant savings can be achieved by timely and professional advice across all these forms of UK taxes. We strongly recommend that you get expert tax advice from an authoritative buy-to-let property tax source to help you make these savings on your buy-to-let property deals.
As your accountants and tax advisers we can help reduce your Income Tax ensuring all allowable expenses are deducted against your Buy-to-Let property (BTL) rental income. Whilst selling your Buy-to-Let property (BTL), you need to be thinking about Capital Gains Tax. There are significant exemptions available for Capital Gains Tax mitigation. The timing of the asset disposal can also result in considerable savings of capital gains tax on your buy-to-let property. As your appointed tax advisors we would prepare your capital gains tax computations. We make sure all your buy-to-let property entitlements of claims to reliefs and exemptions are established and made.
Whether you are buying, selling, renting or leaving it in a will, a Buy-to-Let property (BTL) will be subject to taxation:
Stamp Duty Land Tax – payable when you purchase your Buy-to-Let property (BTL). The percentage of tax payable depends on the value of the buy-to-let property.
Income Tax - charged on all buy-to-let property rental income after allowable expenses are deducted. The amount of tax paid is dependent on the income tax band. This must be declared on your annual Self-Assessment Tax Return.
Capital Gains Tax – chargeable on the gain you made when selling a Buy-to-Let property. The amount of Capital Gains Tax payable is calculated depending on the length of time you owned the property, whether you lived in it and certain deductible capital expense incurred as well as costs when you purchased and sold the buy-to-let property.
Inheritance Tax – payable dependent upon the total value of the estate, including the buy-to-let property.
As your appointed accountants and tax advisers, let us deal with your buy-to-let property matters. It will facilitate you to continue with the day-to-day management as a landlord.
Our buy-to-let property advice service can be provided as an individual service. It may be combined with other tax and accountancy related services as part of an annual package that we can offer as your appointed Accountants and Tax Advisers.
As property tax experts we can also offer you tax advice on matters relating to rent a bedroom of your home ( commonly referred to as rent-a-room ), use of home as office, use of your buy-to-let property as your home ( principal private residence – PRP ) or capital gains tax issues relating to sale of your principal private residence (PRP) if it has been subject to a buy-to-let property rental period or business use during your ownership of it.
The Revenue is currently running a Let Property Campaign. This is to target landlords who have buy-to-let property and do not declare the rental income. If you need further details or expert tax advice in regards to the Let Property Campaign then contact V P Associates, property Tax Accountants.
For well over 20 years we have served as buy-to-let property Tax Accountants and Tax Advisers.
We cover Brighton, Crawley, Crawley Down, Croydon, Copthorne, Eastbourne, East Grinstead, Felbridge, Gatwick, Godstone, Haywards Heath, Horley, Horsham, Hove, Lingfield, London, Oxted, Redhill, Reigate, Tunbridge Wells, Turners Hill, Worth, Worthing and most of Surrey, East and West Sussex. We now service most of Greater London and London City.