Over the past number of years, many landlords have benefitted from a buoyant property market across much of the UK. However, a number of recent measures introduced by the government have tempered demand and made life more difficult for existing and prospective landlords.
These measures have included the withdrawal of the wear and tear allowance and the introduction of new higher rates of Stamp Duty Land Tax for purchases of additional residential property such as buy to let and second homes.
Perhaps most importantly, the new rules which bring about the reduction in the available tax relief for finance costs for residential landlords began on a phased basis in April 2017. These changes will mean that by April 2020 only the 20% basic rate of tax relief will be available. These changes will severely impact many landlords of residential properties who have benefited from tax relief on finance charges, such as mortgage interest for many years.
At Tax4Today we have many years of experience in dealing with this specific sector and the issues that landlords face. We would be happy to advise any landlords on the most tax efficient way of building, maintaining or disposing of their property portfolio.
Get in touch now on 0330 053 7042 to arrange a free no obligation meeting with us.