By Louise Misiewicz
Are you concerned about property legislation and taxation?
Wondering if other investments are worth considering in 2017?
My team of property tax experts and wealth planners were discussing the amount of property legislation and new taxation measures introduced over the last 18 months – and whether other forms of investment might be worth some of our buy-to-let landlord clients considering in 2017.
I still believe that the property investment sector in the UK is one of the best markets for investors.
Despite ongoing property legislation and taxation measures, the buy-to-let market is stable and our property investor clients are continuing to have confidence in the sector during 2017.
Is EIS the best alternative for buy-to-let landlords?
Some property investors have been selling properties ahead of April’s increased taxation on the buy-to-let market by using a legitimate means of avoiding capital gains tax – via EIS, or Enterprise Investment Schemes.
Buy-to-let landlords can move the gains made on property sales into niche investments where all their tax can be recouped via other government incentives. This is why EIS has become so popular in recent months.
In exchange, however, property investors have to expose their capital to a greater level of financial risk.
Figures from HMRC show a surge in the money being poured into such investments, whilst specialists in say much of the flow in EIS comes from property sales.
If you’re unsure about the benefits of selling properties from your portfolio in 2017 and diverting some of the funds into EIS, get in touch here.
I wrote a detailed article recently about the benefits of EIS – read it in full here.
What other options are available to property investors?
It’s worth considering that although EIS is a good way of deferring CGT and potentially also seeing an income tax reduction, there are still risks involved and some investors feel that property is more stable.
I wrote a blog post about ways in which property investors can reduce their IHT liability – see more here.
Free advice and guidance for buy-to-let landlords
My FAQ section covers a number of related areas and has some pertinent and relevant articles – particularly in the ‘How to ‘ section. Review it here for full details.
How to engage with us
If you want to understand how to implement this strategy or to discuss other finance/tax questions then please book some time with us using the below calendar.
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If you are looking for a new accountant, then please book some time with us using the below calendar. Please note that this booking is to describe our services and will not be used to discuss your personal tax affairs.