Thinking of becoming a landlord? Unsure about the tax or legal implications? Read on to find out more.
Landlord accounting is our service which we provide to clients who are receiving rents either from unfurnished properties or holiday let accommodation.
It is essential when becoming a landlord that you have a great accountant. Being a landlord is a huge responsiblity, and the cost of getting things wrong can be vast. Both in terms of time and tax. We offer specific landlord accounting services to enable you to keep on top of your tax and legal obligations, so you can rest easy knowing that everything is taken care of.
Self-Assessment: if you personally receive rental income you must register for self-assessment and complete a tax return annually. This is to ensure that HMRC is able to calculate your tax correctly.
Limited company: if you have several properties, it may be more tax efficient for you to hold these within a Limited Company. Although it is not a requirement for you to do so.
Is your property your main residence? If not, when you come to sell it you may be subject to Capital Gains Tax (CGT). Previously you could report the sale on your next self-assessment tax return and pay the tax due then. Since April 2020 you are required to report and pay the CGT within 30 days of the completion date of the sale of the property.
Advice: find a specialist accountant for landlords (such as us) to advise you properly. The government's legislation changes all the time, so it is important to choose someone who you like working with, and who can give you the most up-to-date advice.
"we can take away the stress and let you get on with what you do best".
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