This property investor owns 15 properties he has built up the portfolio over the past 10 years. All of the properties are small terraced houses in West Yorkshire. He intends to keep his properties long term as he hopes to live off the income in retirement.
He has mortgages on all of the properties and does make a small surplus but most of the income goes towards paying the mortgages and repairs and maintenance.
When this client came to us he was concerned about the new tax changes and wanted to know how to minimise the tax that he paid, his current accountant had advised him to not do anything.
We worked with this client to do some tax planning. Tax savings will be approximately £5500 per annum and a tax free personal income will also be generated for this investor.
Client said: “ I am really glad that I took a second opinion regarding my properties as the tax savings are great”