We’re Pros at What We Do
We’ll furnish you with all the essential guide for growing or taking care of your business as a landlord. We help you with an assessment proficient approach to maintain your business with the goal that you need to spend minimal measure of cash on charges toward the day’s end. Likewise, you have an agent from Accotax Accountants consistently available to you at whatever point you need any business exhortation.
Our accountants in London will Compute and Prepare your Accounts and Taxes returns. Our landlord accountants in London can likewise offer tweaked account detailing. We will manage HMRC for your benefit and apply any important duty reliefs to help limit your expenses. So as to ensure that our customers who are landowners appreciate the most advantages out of the properties that they own, we offer a lot of expert administrations to them.
More than just an Accountants for landlords
Here at ACCOTAX – also known as Accountants for landlords in London, we are more than just an average accountant. We have a team of tax experts who closely work with hundreds of landlords and property owners and helps them to save taxes. We will personally take you through all the special tax reliefs available only to landlords. As a landlord, you can reap financial rewards with a running business from the comfort of your home, and we at ACCOTAX can guide you on how to purchase properties with your financial gains keeping tax-efficiency in mind. Our landlord accountants can also advise you on accounting records that you need to keep a hold on and guide you on how and where to invest your rental gains.
If you are someone who has a portfolio of properties or just starting in the business, we at ACCOTAX can help you reduce your taxes as a landlord and advise you on how to benefit from your rental income. We have specially designed packages for landlords, so you will have an opportunity to pick relevant package offered from landlord accountants in London. We closely work with several landlords who own the properties through their SPV’s, so If you are looking for SPV accountants in London then you have come to the right place. Please visit our SPV accounting packages page to compare the packages.
Who can claim Rent a room relief?
You need to be vigilant to enjoy tax relief on renting a room. If you keep up with the Landlord rules and regulations that keep on changing each year, then this vigilance can pay off big time. Our specialized team of Landlord accountants keeps you updated on this front and help you navigate through these changes that can affect you as a Landlord.
Rent a room provides a tax-free limit of £7,500 per annum for people letting accommodation in their own homes. If there is more than one recipient of the income, each person gets relief up to £3,750. It applies automatically and does not have to be claimed.
The accommodation must be furnished, in the UK, and the lessor’s only or main residence for at least some of the year. The relief does not cover letting the space for use as an office, storeroom or garage, or to a company or partnership. Rent a room can cover services as well as rent – for example, providing bed and breakfast.
Rent a room applies to gross rents, not profits. If the threshold is exceeded, the taxpayer can elect to be taxed on the excess over £7,500 or disapply the relief and be taxed on normal income and expenditure rules.
The current rules mean that rent a room will be available where the taxpayer lets out their whole home (for example, while they go on holiday), and they and the tenants are not there at the same time. (Courtesy: ICAEW)
Should I buy a property under a Limited Company?
This is one of the most common & hot questions nowadays. The answer is not simple, we need to know your personal circumstances in order to guide you in the right direction. Due to restriction on finance cost by HMRC, Landlords will only be able to obtain relief as follows:
- In 2017 to 2018 the deduction from property income (as is currently allowed) will be restricted to 75% of finance costs, with the remaining 25% being available as a basic rate tax reduction
- In 2018 to 2019, 50% finance costs deduction and 50% given as a basic rate tax reduction
- In 2019 to 2020, 25% finance costs deduction and 75% given as a basic rate tax reduction
- From 2020 to 2021 all financing costs incurred by a landlord will be given as a basic rate tax reduction
Due to the above changes, our general advice is to buy the property under SPV’s, especially if you already own buy to let properties.
Do you pay taxes on Rental Income in the UK as a non-Resident?
Yes, if you are non-resident and own a rental property in the UK under your personal name or via an overseas company, you will have to pay taxes in the UK on rental income. At ACCOTAX – We have a team of specialist Accountants for non-resident landlords, who will help you or your overseas company to register with HMRC as a Non-Resident landlord and obtaining a UTR number so that you can file relevant tax returns to HM Revenue & Customs.
For Non-Resident landlords, we suggest you register as a non-resident so that your agent will not hold 20% taxes. You will get payment in gross from them and then you will be responsible to file tax returns at the year-end and pay relevant taxes to HMRC.
Eradicating confusion on Property Tax
How you pay property tax solely depends on how you acquire the said property. Property tax is believed to be the most taxing of all taxes, and our landlord accountants guide yours through everything you need to know whether you buy it is a sole owner, through or as a limited company, or get it done via a partnership.
We at ACCOTAX, along with our specialist landlord accountants, can explain everything clearly and in detail when you join us, and we will be happy to answer all your questions and make sure you get a quick turnaround time on your queries.
You will be in safe hands!
ACCOTAX is proudly providing Tax returns services for landlords, we are accredited & regulated by ICAEW, ACCA & AAT. Our proactive approach helps to identify any possible issues ahead and helps you to plan effectively to implement efficient growth plans.