SPV’s Companies

Accountants for SPV's

What is an SPV company?

 

If you’re looking for buy-to-let companies in the UK, let our SPV Accountants help you with the finances. A special-purpose limited company is just meant to hold the property. It’s always a good idea to invest in a rental company because they’re easier to understand. SPV companies are good because you don’t have to pay taxes on them.

 

Setup an SPV in no time

 

Setup the company yourself. A typical SPV costs about £12 to set up. If you’re just using the property for letting purposes, the next step is to move on with property letting.

 

Onboard an SPV Accountants

 

Once you’ve onboarded us, here’s what to expect:

  • If you’re paying 40% of taxes, expect around 19% rental income.
  • If you’re taking up to £2,000 dividents a year, you won’t be gaining any more profits. Retain and reinvest without paying any extra tax.
  • Expense finance cost under SPV.

 

SPV‘s also known as a special purpose vehicle limited company. It’s a special company that is commonly used to purchase buy-to-let properties in the United Kingdom. SPV companies are used only for buy-to-let and do not carry out any other form of trading. If you are planning to buy a property under a limited company, an SPV mortgage lender will usually request you set up a separate limited company ( SPV), as they will not allow you to get SPV to buy to let property under a trading company, so you need the services of SPV accountants for your company. There are several tax benefits available, e.g

 

  • If you are a high rate taxpayer ( 40%, the company on the rental income will only pay 19%(2018/2019) corporation tax.
  • If you take dividends of up to £2,000 a year, there will be no extra personal tax to pay. – You will be able to reinvest any retained profits without paying any Personal tax as long as you buy any future property under the same company.
  •  You will be able to expense the finance cost which includes the SPV mortgage interest under SPV.

 

As experienced SPV accountants in London, we closely work with many landlords and have helped them to set up SPV. If you are looking to buy the properties under a limited company, we can assess your personal circumstances/tax position and can guide you in the right direction. Our fee to set up an SPV only starts from £100 plus vat, whereas the year-end accountancy fee for SPV starts from £800 plus vat per year. For more information, you can contact us and get help from Professional accountants in London.

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