VAT is a very complex area of tax however we have sought to provide a general overview of VAT and how it relates to the property business. Simply put, as Property is generally exempt from VAT, Limited Companies operating in this area are not able to register for VAT in the first place and so […]
EFFECTIVE 1 APRIL 2016 FOR COMPANIES AND 6 APRIL 2016 FOR INDIVIDUALS Prior to the effective date, it was essential to distinguish between fully-furnished and partly-furnished properties to determine whether “repair and renewal” expenses were eligible for tax relief. Under the old rules, for example, a landlord might seek to claim tax relief on the […]
Providence is growing and has rebranded! We hope you like our new branding. Our website is also nearing launch (www.providencefinancial.co.uk). NEW NAME! Ian has now formally merged Providence with Noble Accountancy Limited. The new firm is Noble Accountancy Limited trading as Providence. Noble Accountancy Limited is an established Chartered Accountancy practice registered with the Institute […]
With so many property entrepreneurs considering SA, we thought a quick overview of how VAT works in relation to this strategy would be useful. As SA is not an exempt supply of rented property, VAT registration will be required when turnover exceeds the mandatory registration threshold (currently £85,000), but all SA providers will need to […]
What is Multiple Dwellings Relief (MDR)? Put simply, MDR allows you to apply SDLT to the average value of the dwelling you have purchased, as opposed to paying the SDLT on the actual value of each dwelling. For example, say you were to purchase 10 dwellings simultaneously for a total of £3 million; rather than being charged […]
The scenario Here is a typical scenario – An SME business owner has found a new property on the market in their local town. The property is being offered on a freehold title basis and consists of a retail space at street level with a residential flat above. Both the flat and the retail space […]
More and more investors are buying properties within a company – but what’s the deal when it comes to getting a mortgage? Because of the punitive tax changes (due to Section 24 of the Finance (No.2) Act 2015) on personally-owned properties which are taking effect from April 2017, a growing number of investors are using […]
Welsh “SDLT”: Land Transaction Tax (LTT) Land Transaction Tax (LTT), which comes into effect on 1 April 2018 in Wales, replaces Stamp Duty Land Tax (SDLT), which is currently applied in England, Northern Ireland and Wales. Under the new system, the starting threshold for paying property tax will be £150,000 – compared with £125,000 […]
If you’re planning on growing your business, it’s possible you’ve thought about whether you could potentially sell your goods or services to people in other countries. But if those customers want to pay you in their home country’s currency rather than in yours (and you’re happy to deal with the unpredictability of exchange rates to […]
What is a Joint Venture? A joint venture (JV) is an alternative business arrangement in which two or more parties agree to pool their resources for the purpose of accomplishing a specific task. This may be a new project being entered into together or some other joint business activity. In this briefing note we examine […]