Selling your buy-to-let In the UK and there is no CGT to pay (because, the gain is covered by your capital gains exemption). There is no requirement to submit the UK Property Return. The capital gains exemption available for 2023/24 is £6,000. The second important date is 31 January following the end of the
Read MoreSince 2020/21, the deduction of mortgage interest and other finance costs (e.g. arrangement fees) from residential rents is completely blocked for tax purposes for individual landlords (not companies). Instead, the landlord receives tax relief at the basic rate (20%) as a tax credit against the tax due on the property income. With interest rates rising,
Read MoreWhen you let rooms in your own home as residential accommodation, you can receive the rent tax-free if it falls within the limits for rent-a-room relief. This relief is currently capped at gross rents of £7,500 per year. Where more than one person receives the rent from the property, each person has a tax-free exemption for rent
Read MoreLandlords who let holiday accommodation have largely been left out of the covid-related business support. Where the property was registered for business rates, the owner qualified for some small local authority grants, but other landlords received nothing. Holiday letting businesses have also suffered from the various lock-downs that restricted travel across the country. This has
Read MoreWhen do I pay Capital Gains Tax? The profit you make on selling a buy-to-let property or a second home is generally subject to capital gains tax (CGT). Also, you may have to pay some CGT on the profit you make from selling your main home. If you have not lived in that property for
Read MoreWhen will the Commercial Evictions Start again? There has been no rent holiday during the pandemic, but landlords have been barred from evicting tenants from commercial premises. This restriction will now remain in place until March 2022. In addition, the existing debts of unpaid rent accumulated during the pandemic will be ring-fenced, in order to
Read MoreAn SPV, Special Purpose Vehicle, is a standard limited company that has been set up purely to transact for one purpose or transaction. When you intend to purchase a property or land to build residential or commercial development, it is common for this to be bought in a newly registered company that has no liabilities
Read MoreFrom 1 March 2021, the responsibility for accounting for VAT on building works will shift up the supply chain to larger contractors. Building sub-contractors will no longer charge VAT to other businesses in the construction industry. Instead, their building customers will account for the VAT as both a purchase and sale by doing a reverse
Read MoreWhen do pay Stamp Duty? All property in the UK is subject to a land tax which normally paid by your solicitor once the completion has occurred and Land Registry has been notified. How much you pay in Stamp Duty is all dependent on how you buy the property and whether your buying as an
Read MoreWhen you buy a home, you normally have to pay stamp duty tax on the purchase price. There are three different forms of land tax that apply in the UK and each has its own starting thresholds, rates and bands. One common element of all the UK stamp duty tax is the lowest threshold has
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