Tim Jones

Registered with Property118.com
Sunday 17th December 2017


Latest Comments

Total Number of Property118 Comments: 13

Tim Jones

16:36 PM, 15th December 2020, About 6 months ago

BTL Personal vs Ltd Company - Which way to jump?

Reply to the comment left by Darren Peters at 15/12/2020 - 14:55
Thanks -

Im not really concerned about the rate 5% is fine ( im only paying 1.4% personally ) - im also not concerned about the company ( good year / bad year ) my concern is if i have to declare it to HMRC - at the rate stated above I would be due £40K per year which is highly significant for me, currently i dont claim it as my accountant said id have to pay tax on it, if there is a HMRC link to clarify this that would make my day... Read More

Tim Jones

14:35 PM, 15th December 2020, About 6 months ago

BTL Personal vs Ltd Company - Which way to jump?

Reply to the comment left by Mark Alexander at 08/12/2020 - 12:22
are you able to clarify this ( with a HMRC link ) - would the £18,500 have to be declared as income - so for higher rate tax payers get taxed accordingly

Therefore, if you had a Directors’ loan account with a balance of £185,000 an annual interest rate of 10% should be acceptable with HMRC allowing you to receive £18,500 of interest income entirely tax free. This would be an allowable expense to your company saving corporation tax at 19% and you would also be able to receive it personally without any tax.... Read More

Tim Jones

22:58 PM, 12th December 2020, About 6 months ago

BTL Personal vs Ltd Company - Which way to jump?

Reply to the comment left by Darren Peters at 08/12/2020 - 12:17
Hi Darren

Your last comment - You are a lender to your company and can then charge your company interest on the £50K. Interest is treated differently to salaried income

I tentatively explored this with my accountant but as it increased my income ( I’m a higher rate tax payer ) we concluded to lend it Interest free ( which is ok ish but I’d prefer to extract more from the company ( obviously I can take out capital )

Also what rate is acceptable to HMRC if this is a route - 5% over base rate ?... Read More

Tim Jones

20:34 PM, 24th September 2020, About 9 months ago

Housing Association wanted?

Me and my wife run a housing project of 5 homes for homeless people using our own HMO s and one we rent off a landlord who bought in to the vision. We are renting the properties well below market rent ( 5%-6% of cost price at the time of purchase ) but the charity gains grants to do them up (sometimes) - usually new kitchens , bathrooms , and full decorations etc . But the contracts are 20 years with 5 year breaks, because we are involved in the charity we know the houses are well looked after and maintained a support worker goes in every week days for 4 hrs - its a very nice model and we are housing some very vulnerable people we are growing at about 1 house per year.... Read More

Tim Jones

11:38 AM, 24th March 2020, About A year ago

Ban on evictions for commercial tenants who miss rent payments

Reply to the comment left by neilt at 24/03/2020 - 10:51
I think ‘holiday’ is not the best term to use as it’s ambiguous ie is it rent free or just deferred rent !

For residential ( ultimately they are deriving benefit from the property) I think deferment is the best course of action although tenant should pay what they can now

For commercial ( tenants are not deriving any benefit as they are closed ) therefore some shared pain ( my question is how much each side) if grants are available and it works they rent can be paid if the alternative is a soft government loan then for my part do I want to incur increased debt ?not really ! But do landlords want the charity shops to open and thrive and pay rent after all this ? I very much assume so... Read More