need for an accountant

  • Filter
  • Time
  • Show
Clear All
new posts

    need for an accountant

    Just a quick ask - is their a bit of a rule of when to appoint an accountant - i spoke to one who was going to charge £250 a year yet my tax return was less than this. However as things are progressing i was wondering when would be best time to appoint one. My return initially appears quite straight forward in so much as i declare my profit minus my expenses. Im soon to have 6 properties. which will generate an additional income to my day job which is PAYE.

    I have made mistakes in teh past re self assessment which where genuine enough and not catastrophic. I will not be seeking to run an business re the letting of these properties i will be i assume a sole trader, Yet would the advice be to start looking at this venture as a business from the very beginning. My mortgage adviser suggests it would cost to register the properties in a business as apposed to solely in my name.

    any advice welcome.

    You may want to include a decent chat with your accountant as part of the fee - I meet up with mine every year and walk through the business and any changes that might make sense.

    Whether you run your businesses as a company or as an individual is an important one, I would run my businesses as a company if starting now, for example, which was not the case when I actually did start out, but the transition cost would wipe out the benefit of change.
    When I post, I am expressing an opinion - feel free to disagree, I have been wrong before.
    Please don't act on my suggestions without checking with a grown-up (ideally some kind of expert).


      so could i run my current portfolio of properties as an individual and future purchases as a potential business. I definitely need an accountant.


        If you are already paying 40% rate tax on your income , the fee of £250 quoted by one accountant is actually costing you only £150 p.a


          it won't actually cost you anything if you put it down as an allowable expense and your tax bill comes to more than that in any case.


          Latest Activity


          • tax responsibility and allowable expenses
            Hello, wondering if anyone can help.

            Firstly, my husband and I are joint owners of our rental property but I heard that we can change things so the tax is based on my income alone. Is this true? If so how can I go about arranging this. I earn alot less than my husband.

            23-04-2019, 20:58 PM
          • Reply to tax responsibility and allowable expenses
            If you are the landlord and your husband isn't, the income would be yours.
            It becomes a little more complex if it's paid into a joint account.

            Essentially, tax is paid on beneficial income, so if your husband enjoys the results of the income, it's really his income as well.
            24-04-2019, 09:30 AM
          • Moving into my Buy to Let
            I’m considering selling my primary residence and moving into my buy to let. I then will want to sell the buy to let in a couple of years time and then buy a new primary residence outright. Reason for this is to consolidate my assets and buy my next family home outright.
            My question is will...
            22-04-2019, 17:23 PM
          • Reply to Moving into my Buy to Let
            The gain achieved during "primary residence period" is exempt for cgt. .

            The gain achieved during the BTL period is liable to cgt at 18% or 28%

            Primary residence can be claimed for the period in residence plus up to 9 months after moving out
            24-04-2019, 01:39 AM
          • Reply to Moving into my Buy to Let
            By taking full advantage of the tax relief for private residences and selling before they need to pay tax. You used to be able to designate whichever property you wanted as your main residence. The last 18 months of occupation is currently tax free - that is dropping to 9 months in 2020. It used to...
            23-04-2019, 21:49 PM
          • Reply to Moving into my Buy to Let
            They don't actually avoid it, they do what anyone can do if they live in more than one place.
            You can nominate one of them to HMRC as your primary residence - because you're only allowed one property as your "primary" residence.

            While that costs you CGT on the other one,...
            23-04-2019, 11:54 AM
          • Reply to Moving into my Buy to Let
            How do politicians get away with paying no CGT on their second residences?
            23-04-2019, 10:04 AM
          • Reply to Moving into my Buy to Let
            jpkeates is correct however your lender might give consent to you occupying the property but place a bar on any release of equity from the property until either you have vacated the property again and can demonstrate this having been done or you have sold the property: much will depend on who your Buy...
            23-04-2019, 08:53 AM
          • Reply to Moving into my Buy to Let
            The CGT is adjusted to allow for the period of residence (under current rules at least).

            Do you have a mortgage on the BTL property, because that would not allow you to live their without breaking the terms of the loan?
            23-04-2019, 08:43 AM
          • Reply to Moving into my Buy to Let
            Do you know what CGT rules will be when you sell?
            22-04-2019, 19:52 PM