For what seemed to be a good idea several years ago I bought properties either as a sole trader or in conjunction with family members or within a limited company. When considering incorporation Mark Alexander showed great skill and patience in dealing with the many conflicting issues that this arrangement had created. Mark's final analysis was that at this present time incorporation was not financially the best option for us. Maybe later but not now. Putting his client's interests before that of his own was more than highly commendable. Thank you Mark.
I had a great Advice session from Mark Alexander and Mark Smith. They are clearly exceptionally knowledgable and in the law and taxation of property. Extremely impressive. I will be definitely ploughing ahead with my plans after our discussions.
We have just started the process of incorporating the property portfolio that my wife and I have built up and held as a partnership. I am impressed with the professional advice and support from Mark Alexander at property 118.com and Mark Smith at Cotswold Tax Barristers. The initial review, subsequent video conf call and all of our questions along the way have been dealt with professionally, quickly and very knowledgeably. The incorporation of our BTL property partnership will greatly improve our future tax position and also allow us to reassess and streamline the properties held without incurring CGT costs. We also intend to include inheritance tax planning as part of this process to ensure that our investments are structured in the most efficient way for our family going forwards.
From our experience so far, we would certainly recommend their approach to anyone who needs good sound advice on this subject.
We incorporated our property partnerships with Mark Alexander and Mark Smith. In initial consultations with Mark, 2 things stood out to me very clearly. He knows the HMRC guidelines and official manuals inside and out. It was quite impressive to behold. The other thing that stood out to me is that he put our personal priorities ahead of his own. This is actually what won him our business. Normally you see a money grabbing agenda among BTL "product sellers" but Mark on several occasions consciously put our business interests before his own.
The planning is expensive, no doubt about that, and given the legal delicacy it ought not to be done cheaply. But done correctly it pays itself off several fold over the long term.
If you seek advice from Mark you will get an extremely accurate and well-referenced report from him, combined with the integrity of genuinely trying to achieve what is the best thing for you.
Having incorporated nearly a year ago, I just wanted to congratulate P118 and their support team for their on-going advice regarding post-incorporation matters such as ATED & re-financing. It's reassuring to know their follow up service doesn't drop off a cliff once the ink is dry !
I have just incorporated as a result of the advice of Property118 and the team at Cotswold Barristers. This is the first time in three years that I have not had the cloud of Section 24 hanging over me. The cost of incorporation will be returned to me in the savings on CGT when I sell a property next year. The benefits of securing the longevity of the portfolio, with the reduced necessity to redeem mortgages, made this decision a "no brainer" for me. The help, guidance and support offered by Mark and the team was fantastic and I can fully recommend their services. Thank you.
We have just incorporated our property portfolio with the expertise of Property 118 and Cotswold Barristers. Excellent solution and a no brainer. We are also using their expertise for our IHT planning and I would not hesitate to recommend them.
I can’t recommend enough a tax consultation with Mark Alexander and his team at property118.com.
I have been so impressed and grateful for the continued care and guidance I have received over the last 3 years since my initial tax consultation from Mark and his team at Property118.
Even in these very difficult times all my enquires and questions have been answered straight away and Mark A has always made himself and his team available at all times. No matter where in the world he happens to be.
Everybody’s circumstances will be different and unique and so the advice and guidance given will also be. My particular position was very complicated as a non UK resident property investor of some 20 years there were many moving parts and complicated scenarios that Mark and his team dealt with brilliantly.
On the 6th of April 2020 I celebrated the new tax year as a share holder in my family investment company and was able to benefit from some of the most clever and innovative tax planning I ever thought possible. Mark’s advice has set my company and its shareholders, my family, on a fantastic foundation for the future and we will be forever grateful for all the help and guidance we have received.
I am delighted to have achieved the incorporation of the business for several reasons.
Using Mark Smith’s legal framework I did not need to refinance all my existing mortgages and am able to keep some of the best variable rate tracker mortgages.
As an incorporated Ltd. company, my business is no longer subject to the punishing section 24 restrictions on the loss of tax relief for finance costs introduced by George Osborne.
As a company of which all members of my immediate family are shareholders I am now able to plan for succession in ways I would not otherwise have been able to and ensure the future of the business.
As a company, the equity I have built up in the portfolio over the many years by not over borrowing has been rewarded by being converted into a substantial Directors loan account and share equity in the business. We can draw Monday from the directors loan tax free as it’s a debt not equity. An amazing tax planning opportunity I was not even aware existed.
The value of the properties now within the company has been raised to the current market valuations. This gives me the freedom to adjust the portfolio without being subject to capital gains tax and reinvest the funds into more profitable properties if I choose too.
At a time when unprecedented amounts of government money is being spent on keeping the economy alive, this will lead to inevitable future personal tax increases which will not affect companies in the same way as individuals. This is because the UK will need to maintain a competitive advantage internationally and attract inward investment to help the economy grow in the future.
The company is UK based and subject to UK tax regardless of where me or my family choose to live. This gives us the flexibility to live where we choose without affecting the company or its investments.
These and more advantages together with the help and support offered by Mark and the team now put our family business on a much more secure and safe foundation from which to grow and prosper even in these very difficult times.
I can’t recommend a tax consultation with Mark Alexander enough. He is living the dream and has the capacity to understand your personal situation and help you in ways you probably didn’t even think possible.
Without a doubt the best money I have ever spent on tax planning and advice.
What have you got to loose???
I would like to say as a portfolio landlord , I had a tax consultation with Mark Alexander. It opened a whole new world with his knowledge, enthusiasm and attention to detail . Mark is extremely quick to reply to any queries.
I formed a partnership four years ago, then incorporated in April 2020. As a result of this I saved a considerable amount of LBTT and capital gains tax. The recommended strucure has allowed me to keep existing mortgages until such time as it becomes more beneficial for me to refinance. I also urestructured the financing of my business whilst it was a partnership to withdraw capital, which I subsequently loaned to the company after incorporation. This directors loan is now available to me to draw money out of the company without having to declare dividends or pay myself a salary.
My inheritance tax problem on future appreciation in property values was sorted using freezer shares and a discretionary trust which will keep my legacy within my bloodline.
I must thanks Mark for his inspiration ,knowledge and always having time for me.
Section 24 changed everything for us.
As portfolio landlords with one partner being a high rate tax payer the future didn’t look to good with the introduction of the tax changes.
I knew we had to plan for this but it was really difficult to find someone who understood the challenges and could advise a way forward that would suit our circumstances.
Having spent a lot of time researching I decided that P118 were going to be the best team to advise us, so I arranged the first consultation.
Since then we have now incorporated the rental business and I can sincerely say using the P118 team to do this was the best decision I have made to date.
I have already recommended them to several colleagues and will continue to do so going forward.
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