Privacy Policy
BACKGROUND:
Property118 Ltd understands that your privacy is important to you and that you care about how your personal data is used and shared online. We respect and value the privacy of everyone who visits this website,
www.property118.com (“Our Site”) and will only collect and use personal data in ways that are described here, and in a manner that is consistent with Our obligations and your rights under the law.
Please read this Privacy Policy carefully and ensure that you understand it. Your acceptance of Our Privacy Policy is deemed to occur upon your first use of Our Site
. If you do not accept and agree with this Privacy Policy, you must stop using Our Site immediately.
- Definitions and Interpretation
In this Policy the following terms shall have the following meanings:
“Account” |
means an account required to access and/or use certain areas and features of Our Site; |
“Cookie” |
means a small text file placed on your computer or device by Our Site when you visit certain parts of Our Site and/or when you use certain features of Our Site. Details of the Cookies used by Our Site are set out in section 13, below; |
“Cookie Law” |
means the relevant parts of the Privacy and Electronic Communications (EC Directive) Regulations 2003; |
“personal data” |
means any and all data that relates to an identifiable person who can be directly or indirectly identified from that data. In this case, it means personal data that you give to Us via Our Site. This definition shall, where applicable, incorporate the definitions provided in the EU Regulation 2016/679 – the General Data Protection Regulation (“GDPR”); and |
“We/Us/Our” |
Means Property118 Ltd , a limited company registered in England under company number 10295964, whose registered address is 1st Floor, Woburn House, 84 St Benedicts Street, Norwich, NR2 4AB. |
- Information About Us
- Our Site is owned and operated by Property118 Ltd, a limited company registered in England under company number 10295964, whose registered address is 1st Floor, Woburn House, 84 St Benedicts Street, Norwich, NR2 4AB.
- Our VAT number is 990 0332 34.
- Our Data Protection Officer is Neil Patterson, and can be contacted by email at npatterson@property118.com, by telephone on 01603 489118, or by post at 1st Floor, Woburn House, 84 St Benedicts Street, Norwich, NR2 4AB.
- What Does This Policy Cover?
This Privacy Policy applies only to your use of Our Site. Our Site may contain links to other websites. Please note that We have no control over how your data is collected, stored, or used by other websites and We advise you to check the privacy policies of any such websites before providing any data to them.
- Your Rights
- As a data subject, you have the following rights under the GDPR, which this Policy and Our use of personal data have been designed to uphold:
- The right to be informed about Our collection and use of personal data;
- The right of access to the personal data We hold about you (see section 12);
- The right to rectification if any personal data We hold about you is inaccurate or incomplete (please contact Us using the details in section 14);
- The right to be forgotten – i.e. the right to ask Us to delete any personal data We hold about you (We only hold your personal data for a limited time, as explained in section 6 but if you would like Us to delete it sooner, please contact Us using the details in section 14);
- The right to restrict (i.e. prevent) the processing of your personal data;
- The right to data portability (obtaining a copy of your personal data to re-use with another service or organisation);
- The right to object to Us using your personal data for particular purposes; and
- If you have any cause for complaint about Our use of your personal data, please contact Us using the details provided in section 14 and We will do Our best to solve the problem for you. If We are unable to help, you also have the right to lodge a complaint with the UK’s supervisory authority, the Information Commissioner’s Office.
- For further information about your rights, please contact the Information Commissioner’s Office or your local Citizens Advice Bureau.
- What Data Do We Collect?
Depending upon your use of Our Site, We may collect some or all of the following personal data (please also see section 13 on Our use of Cookies and similar technologies):
- Name;
- Date of birth;
- Address and post code;
- Business/company name and trading status;
- Number of properties owned;
- Accountants details;
- Contact information such as email addresses and telephone numbers;
- Proof of residence and ID;
- Financial information such as income and tax status;
- Landlords insurance renewal dates;
- Property Portfolio details such as value and mortgage outstanding;
- How Do We Use Your Data?
- All personal data is processed and stored securely, for no longer than is necessary in light of the reason(s) for which it was first collected. We will comply with Our obligations and safeguard your rights under the GDPR at all times. For more details on security see section 7, below.
- Our use of your personal data will always have a lawful basis, either because it is necessary for our performance of a contract with you, because you have consented to our use of your personal data (e.g. by subscribing to emails), or because it is in our legitimate interests. Specifically, we may use your data for the following purposes:
- Providing and managing your access to Our Site;
- Supplying our products and or services to you (please note that We require your personal data in order to enter into a contract with you);
- Personalising and tailoring our products and or services for you;
- Replying to emails from you;
- Supplying you with emails that you have opted into (you may unsubscribe or opt-out at any time by the unsubscribe link at the bottom of all emails;
- Analysing your use of our site and gathering feedback to enable us to continually improve our site and your user experience;
- Provide information to our partner service and product suppliers at your request.
- With your permission and/or where permitted by law, We may also use your data for marketing purposes which may include contacting you by email and or telephone with information, news and offers on our products and or We will not, however, send you any unsolicited marketing or spam and will take all reasonable steps to ensure that We fully protect your rights and comply with Our obligations under the GDPR and the Privacy and Electronic Communications (EC Directive) Regulations 2003.
- You have the right to withdraw your consent to us using your personal data at any time, and to request that we delete it.
- We do not keep your personal data for any longer than is necessary in light of the reason(s) for which it was first collected. Data will therefore be retained for the following periods (or its retention will be determined on the following bases):
- Member profile information is collected with your consent and can be amended or deleted at any time by you;
- Anti-Money Laundering information and tax consultancy records are to be kept as required by law for up to seven years.
- How and Where Do We Store Your Data?
- We only keep your personal data for as long as We need to in order to use it as described above in section 6, and/or for as long as We have your permission to keep it.
- Some or all of your data may be stored outside of the European Economic Area (“the EEA”) (The EEA consists of all EU member states, plus Norway, Iceland, and Liechtenstein). You are deemed to accept and agree to this by using our site and submitting information to Us. If we do store data outside the EEA, we will take all reasonable steps to ensure that your data is treated as safely and securely as it would be within the UK and under the GDPR
- Data security is very important to Us, and to protect your data We have taken suitable measures to safeguard and secure data collected through Our Site.
- Do We Share Your Data?
- We may share your data with other partner companies in for the purpose of supplying products or services you have requested.
- We may sometimes contract with third parties to supply products and services to you on Our behalf. Where any of your data is required for such a purpose, We will take all reasonable steps to ensure that your data will be handled safely, securely, and in accordance with your rights, Our obligations, and the obligations of the third party under the law.
- We may compile statistics about the use of Our Site including data on traffic, usage patterns, user numbers, sales, and other information. All such data will be anonymised and will not include any personally identifying data, or any anonymised data that can be combined with other data and used to identify you. We may from time to time share such data with third parties such as prospective investors, affiliates, partners, and advertisers. Data will only be shared and used within the bounds of the law.
- In certain circumstances, We may be legally required to share certain data held by Us, which may include your personal data, for example, where We are involved in legal proceedings, where We are complying with legal requirements, a court order, or a governmental authority.
- What Happens If Our Business Changes Hands?
- We may, from time to time, expand or reduce Our business and this may involve the sale and/or the transfer of control of all or part of Our business. Any personal data that you have provided will, where it is relevant to any part of Our business that is being transferred, be transferred along with that part and the new owner or newly controlling party will, under the terms of this Privacy Policy, be permitted to use that data only for the same purposes for which it was originally collected by Us.
- How Can You Control Your Data?
- In addition to your rights under the GDPR, set out in section 4, we aim to give you strong controls on Our use of your data for direct marketing purposes including the ability to opt-out of receiving emails from Us which you may do by unsubscribing using the links provided in Our emails.
- Your Right to Withhold Information
- You may access certain areas of Our Site without providing any data at all. However, to use all features and functions available on Our Site you may be required to submit or allow for the collection of certain data.
- You may restrict Our use of Cookies. For more information, see section 13.
- How Can You Access Your Data?
You have the right to ask for a copy of any of your personal data held by Us (where such data is held). Under the GDPR, no fee is payable and We will provide any and all information in response to your request free of charge. Please contact Us for more details at info@property118.com, or using the contact details below in section 14.
- Our Use of Cookies
- Our Site may place and access certain first party Cookies on your computer or device. First party Cookies are those placed directly by Us and are used only by Us. We use Cookies to facilitate and improve your experience of Our Site and to provide and improve Our products AND/OR We have carefully chosen these Cookies and have taken steps to ensure that your privacy and personal data is protected and respected at all times.
- All Cookies used by and on Our Site are used in accordance with current Cookie Law.
- Before Cookies are placed on your computer or device, you will be shown a cookie prompt requesting your consent to set those Cookies. By giving your consent to the placing of Cookies you are enabling Us to provide the best possible experience and service to you. You may, if you wish, deny consent to the placing of Cookies; however certain features of Our Site may not function fully or as intended. You will be given the opportunity to allow only first party Cookies and block third party Cookies.
- Certain features of Our Site depend on Cookies to function. Cookie Law deems these Cookies to be “strictly necessary”. These Cookies are shown below in section 13.5. Your consent will not be sought to place these Cookies, but it is still important that you are aware of them. You may still block these Cookies by changing your internet browser’s settings as detailed below in section 13.9, but please be aware that Our Site may not work properly if you do so. We have taken great care to ensure that your privacy is not at risk by allowing them.
- The following first party Cookies may be placed on your computer or device:
Name of Cookie |
Purpose |
Strictly Necessary |
JSESSIONID |
Used only to collect performance data, with any identifiable data obfuscated |
No |
__cfduid |
This cookie is strictly necessary for Cloudflare's security features and cannot be turned off. |
Yes |
- Our Site uses analytics services provided by Google Analytics and Facebook. Website analytics refers to a set of tools used to collect and analyse anonymous usage information, enabling Us to better understand how Our Site is used. This, in turn, enables Us to improve Our Site and the products AND/OR services offered through it. You do not have to allow Us to use these Cookies, however whilst Our use of them does not pose any risk to your privacy or your safe use of Our Site, it does enable Us to continually improve Our Site, making it a better and more useful experience for you.
- The analytics service(s) used by Our Site use(s) Cookies to gather the required information.
- The analytics service(s) used by Our Site use(s) the following Cookies:
Name of Cookie |
First / Third Party |
Provider |
Purpose |
__utma, __utmb, __utmc, __utmt, __utmz |
First |
Google |
Helps to understand how their visitors engage with our website |
_fbp |
First |
Facebook |
Helps to understand how their visitors engage with our website |
- In addition to the controls that We provide, you can choose to enable or disable Cookies in your internet browser. Most internet browsers also enable you to choose whether you wish to disable all cookies or only third party cookies. By default, most internet browsers accept Cookies but this can be changed. For further details, please consult the help menu in your internet browser or the documentation that came with your device.
- You can choose to delete Cookies on your computer or device at any time, however you may lose any information that enables you to access Our Site more quickly and efficiently including, but not limited to, login and personalisation settings.
- It is recommended that you keep your internet browser and operating system up-to-date and that you consult the help and guidance provided by the developer of your internet browser and manufacturer of your computer or device if you are unsure about adjusting your privacy settings.
- Contacting Us
If you have any questions about Our Site or this Privacy Policy, please contact Us by email at info@property118.com, by telephone on 01603 489118, or by post at 1st Floor, Woburn House, 84 St Benedicts Street, Norwich, NR2 4AB. Please ensure that your query is clear, particularly if it is a request for information about the data We hold about you (as under section 12, above).
- Changes to Our Privacy Policy
We may change this Privacy Policy from time to time (for example, if the law changes). Any changes will be immediately posted on Our Site and you will be deemed to have accepted the terms of the Privacy Policy on your first use of Our Site following the alterations. We recommend that you check this page regularly to keep up-to-date.
Mark Alexander - Founder of Property118
15:54 PM, 25th February 2020, About 4 years ago
Hi Simon
I agree that if you transfer your properties into two separate LLP's then you could achieve your objective. However, if you remove property from an LLP within three years of transferring them in there is a Stamp Duty charge, so the advice you have been given in regards to "two or three years" is both vague and could potentially be very dangerous for you. It is worrying that two different accountants have both told you this, because the anti-avoidance legislation is very clear.
In regards to "profit extraction", have you looked into the possibilities for Capital Account Restructuring? Please see the link below, because this might solve your concerns in that regard.
https://www.property118.com/tax/capital-account-restructure-landlords/
Furthermore, you might be able to incorporate immediately, because from what you have said above it seems you may well already be a partnership by de-facto in accordance with the definition in the Partnership act 1890. Please see the link below.
https://www.property118.com/tax/stamp-duty-transferring-whole-business-partnership-limited-company/
Finally, are you certain that is you split the portfolio that you will not have a 'latent gains' problem in either of them? Please see the link below.
https://www.property118.com/tax/incorporation-relief-explained/
We will only know for certain what the optimal strategy is by going through a full consultation process, which costs £400 and comes with a GUARANTEE of total satisfaction or a full refund.
I hope that helps 😀
Simon Hall
17:29 PM, 25th February 2020, About 4 years ago
Mark, thank you for your kind input. You appear to be far more knowledgeable than Chartered accountants. I am aware that we should be able to incorporate immediately that is only if we incorporated the whole portfolio. The difficulty we have is that we have to separate/ split portfolio in 2 parts and we have to draw the line and the only way it can be achieved is by forming an LLP and putting income through partnerships accounts for those 10 properties which are intended to be incorporated and remaining 10 as they are.
If I have rightly understood, latent gains means in layman terms that your equity in properties should exceed Capital Gains. So in other words Let's say my acquisition costs are £2 Million pounds for part 2 portfolio (the portfolio which we intend to incorporate) then by the time we incorporate as long as the value of properties is say £2 Million and £1 then we do not have latent gains issue? (assuming Mortgages are £ 2 Million too).
Would you kindly clarify following:
1) Why have 2 LLP'S as we are looking to incorporate only 1 portfolio and the other leave it how it is.
2) Why you mention particularly 3 years rule of an LLP as both accountants mentioned 2-3 years? They have stated that there is not a minimum period by recommended time is 2-3 years.
3) Why anti-Tax avoidance apply to 2 years but not 3?
Many thanks Mark.
Simon.
Mark Alexander - Founder of Property118
17:52 PM, 25th February 2020, About 4 years ago
Reply to the comment left by Simon Hall at 25/02/2020 - 17:29
Hi Simon
Thank you for your compliments, flattery will get you everywhere!
Most of our clients are referred to us by accountants. We are specialists in this particular area whereas most accountants tend to be general practitioners in tax. We do not get involved with general accountancy such as bookkeeping, payroll, tax returns etc. Each to his own and horses for courses!
I concur with your initial interpretation, i.e. .... "latent gains means in layman terms that your equity in properties should exceed Capital Gains". If your equity is less that your Capital Gains PLUS any unused annual CGT exemption allowances PLUS any carried forward capital losses then you would have CGT to pay, even if you qualify for 'incorporation relief' under TCGA92/S162. However, I cannot endorse your example, because it does not contain sufficient information to establish whether latent gains applies or not.
If you are only looking to incorporate one part of your portfolio then you might only need to create one LLP to ring fence it. However, you also need to consider GAAR. There may may well be other reasons to consider forming two LLP's, such as business continuity and legacy planning, IHT planning, utilisation of adult children's lower rate tax bands etc.
Property moved into and back out of a Partnership within three years triggers SDLT. That is clear in the anti-avoidance legislation within the Finance Act 2003. Your other advisers are wrong.
There is still anti-avoidance which extends beyond three years. HMRC can refuse a claim for SDLT relief if they believe a partnership has been formed specifically to avoid paying SDLT upon incorporation, because that would fall into their General Anti Abuse Rules legislation "GAAR". That might be why your existing advisers recommended two LLP's, i.e. to be make it irrefutable that there are commercial reasons which extend beyond tax avoidance.
As a matter of interest, how much did you pay for the flawed advice you have received elsewhere?
Simon Hall
18:40 PM, 25th February 2020, About 4 years ago
Hi Mark,
Many thanks for that. The total purchase price of new portfolio which we purchased in last 4 years is around £3 Million, this is very same portfolio we wish to incorporate as it was a mistake! But we do not wish to get rid of it. So the acquisition costs are £3 Million and the total values are around £3.5 Million. We funded this portfolio by taking loans (second charges) against our Surrey properties.
So, what we intend to do is, after forming an LLP, we will remortgage all of these properties and take total mortgages equivalent to acquisitions costs by the time we incorporate and pay off all loans which we had secured against our Surrey portfolio which had paid for new portfolio deposits and stamp duty. As common sense would prevail, if we leave where those aforementioned loans tied up against surrey portfolio and we leave where they are then we will not be able to offset interest on those second charge loans?
So in summary, we will remortgage the portfolio up to acquisition costs. We would need around 2-3 years to resolve this issue and as you recommend 3 years for LLP then we stick to 3 years.
We are not doing it purely to Save Tax as our decision is also influenced by the fact that one of properties in Ashford is a Licensed HMO and distance involved is fair amount so we would like to minimise risks, polarise our portfolio, IHT planning and long term business plan. We are only at investigative stage, so we have not paid anything for advice Mark but we will indeed seek your services later down the line.
Does any of above cause you any concern? My strategy to take Mortgages equivalent to acquisition costs is right? How do we mitigate Anti-Tax avoidance concern as we genuinely not doing it purely for Tax reasons although it is certainly a contributory factor but not the only one.
Mark Alexander - Founder of Property118
19:08 PM, 25th February 2020, About 4 years ago
Reply to the comment left by Simon Hall at 25/02/2020 - 18:40
I think it would wrong and potentially dangerous to provide further bespoke guidance on a public forum and without completing a full consultation. However, I am pleased my responses to your more generic questions have provided you with confidence to progress to the next stage with the Property118 team when you are ready to do so.
If you want to get this set up for the tax year you will need to get a move on. I will not be available personally due to travel and holiday commitments from tomorrow through to 9th March but I can assure you that all Consultants within the team are equally knowledgeable and able to assist as I am.
Simon Hall
21:20 PM, 25th February 2020, About 4 years ago
Reply to the comment left by Mark Alexander at 25/02/2020 - 19:08
Thanks Mark it has been great help anyway. Just on generic terms, you mentioned any unused annual exemption allowances. Based on my understanding, you cannot carry forward unused annual exemption allowances? for avoidance of doubt, I am not suggesting that you said that.
Mark Alexander - Founder of Property118
21:36 PM, 25th February 2020, About 4 years ago
Reply to the comment left by Simon Hall at 25/02/2020 - 21:20
Correct, unused annual exemption allowances cannot be carried forward
Simon Hall
17:55 PM, 28th February 2020, About 4 years ago
Mark, I am looking for this reference: "Property moved into and back out of a Partnership within three years triggers SDLT. That is clear in the anti-avoidance legislation within the Finance Act 2003. Your other advisers are wrong."
I am unable to find it anywhere. Would you be kind to send me reference to aforesaid anti-avoidance legislation? Thanks
Mark Alexander - Founder of Property118
18:16 PM, 28th February 2020, About 4 years ago
Reply to the comment left by Simon Hall at 28/02/2020 - 17:55
Below is an extract from an email sent to me by Mark Smith of Cotswold Barristers on this subject. I hope this helps ....
FA 2003 Sch 17A (added by FA 2004 Sch 42)
17A(1)This paragraph applies where—
(a)there is a transfer of a chargeable interest to a partnership (“the land transfer”);
(b)the land transfer falls within paragraph (a), (b) or (c) of paragraph 10(1);
(c)during the period of three years beginning with the date of the land transfer, a qualifying event occurs.
(2)A qualifying event is—
(a)a withdrawal from the partnership of money or money's worth which does not represent income profit by the relevant person—
(i)withdrawing capital from his capital account,
(ii)reducing his interest, or
(iii)ceasing to be a partner, or
(b)in a case where the relevant person has made a loan to the partnership—
(i)the repayment (to any extent) by the partnership of the loan, or
(ii)a withdrawal by the relevant person from the partnership of money or money's worth which does not represent income profit.
(3)For this purpose the relevant person is—
(a)where the land transfer falls within paragraph 10(1)(a) or (b), the person who makes the land transfer, and
(b)where the land transfer falls within paragraph 10(1)(c), the partner concerned or a person connected with him.
(4)The qualifying event—
(a)shall be taken to be a land transaction, and
(b)is a chargeable transaction.
(5)The partners shall be taken to be the purchasers under the transaction.
(6)Paragraphs 6 to 8 (responsibility of partners) have effect in relation to the transaction.
(7)The chargeable consideration for the transaction shall be taken to be—
(a)in a case falling within sub-paragraph (2)(a), equal to the value of the money or money's worth withdrawn from the partnership,
(b)in a case falling within sub-paragraph (2)(b)(i), equal to the amount repaid, and
(c)in a case falling within sub-paragraph (2)(b)(ii), equal to so much of the value of the money or money's worth withdrawn from the partnership as does not exceed the amount of the loan,
but (in any case) shall not exceed the market value, as at the effective date of the land transfer, of the chargeable interest transferred by the land transfer, reduced by any amount previously chargeable to tax.]
So ….
1. if the proper SDLT was paid at the time of original purchase
2. no SDLT is payable on transfer to the partnership
3. but SDLT would be payable by the partners if the property was taken out of the partnership into NewCo within 3 years
4. on the difference between what was paid at stage 1 and the market value at stage 3.
Simon Hall
20:48 PM, 28th February 2020, About 4 years ago
Reply to the comment left by Mark Alexander at 28/02/2020 - 18:16
Many thanks Mark. So in layman terms, what you saying is that, if at the time of purchase I paid £10000 for stamp duty and then as an example at the time of transfer from partnership were to be £13000 Stamp Duty then you would deduct £10000 (original stamp duty payment) from £13000 leaving you to pay £3000 and that's if it was taken out of partnership less than 3 years from its set up and then transferred into company?