Bruce Allsobrook

Registered with Property118.com
Thursday 19th September 2013


Latest Comments

Total Number of Property118 Comments: 6

Bruce Allsobrook

6:41 AM, 19th December 2013
About 7 years ago

Consultation Testimonials

I have found useful advice here - Good luck in your new venture Mark... Read More

Bruce Allsobrook

12:50 PM, 24th October 2013
About 7 years ago

Deed of trust property company tax question

Reply to the comment left by "Mark Alexander" at "24/10/2013 - 12:26":

That sounds good Mark - is there an estimated date?

Thank you Tony - I am currently discussing with Neil Barlow, but will keep the info you kindly sent as well.... Read More

Bruce Allsobrook

16:26 PM, 23rd October 2013
About 7 years ago

Deed of trust property company tax question

Reply to the comment left by "Tony Atkins" at "20/09/2013 - 00:56":

Hi Tony
Would you mind passing on the name of your accountants?
I am trying to get a new accountant, but they do not revert back to me.

many thanks
Bruce... Read More

Bruce Allsobrook

7:32 AM, 20th September 2013
About 7 years ago

Deed of trust property company tax question

Thank you for your comments above Neil.
You are confirming what I have thought, and also what Tony has stated, that the property MUST be treated as an ASSET in the Company books, and NOT in my personal name. I also agree with your proviso, that if I was retaining the property for rental income, then it would be a Fixed Asset; and as I did with this property specifically, buying to renovate and sell, it should have been treated as a Current Asset (Stock & Work in Progress for the renovations,

In overall, I guess the outcome should be that the present accountants should be dismissed, and the shareholders appoint a new firm of Chartered Accountants to re-do the annual financial statements and write to HMRC to explain the situation and to re-submit income tax returns.

What a waste of money - I must also consider reporting my complaint to the ICAEW.

Thank you to both for your comments and advice.
Any final advice or comments?... Read More

Bruce Allsobrook

19:04 PM, 19th September 2013
About 7 years ago

Deed of trust property company tax question

Reply to the comment left by "Mike " at "18/09/2013 - 16:48":

Hi Mike
I cannot comment on your situation, but I can tell you what I have done, and the reasoning behind my actions.
I was on a 40% tax bracket, and wanted to do my property trading in a limited company and so only pay small company tax rates (around 20%).
I found it easier to do financing in my name, so my solicitors set up a Trust Deed that I was holding the property as a Trustee for the limited company.
If I were to have a rental property, the net profits on rentals would also therefore be at the company 20% tax rate and not my 40% bracket.

With your situation, there may be an advantage of doing the same, as you could have your children as shareholders - and IF your property portfolio becomes so large that you exceed the death duties limits, you may save tax when you die.
Please however, get professional advice before you do anything and check out costs and potential savings to make sure you have a chance of saving in the long and possibly also short term.... Read More