How would a Trust work for grown up children and section 24?

by Readers Question

10:29 AM, 5th June 2017
About 2 years ago

How would a Trust work for grown up children and section 24?

Make Text Bigger
How would a Trust work for grown up children and section 24?

I have 8 buy to let’s which have interest only mortgages 0f about £480,000 producing an income of around 68k of course that’s gross without any agent fees repairs or interest.

Can I place them in a Trust for my 4 children.

Also will the section 24 still apply.

Children are 34 25 23 and 21.

2 are working. 1 is a house wife and 1 is a student

Any ideas on how to ease the effects of section 24?

Thank you

Pradip



Comments

Ian Narbeth

13:13 PM, 5th June 2017
About 2 years ago

Pradip
I recommend you talk to your accountant. By the sound of it, you can use a trust arrangement to mitigate income tax problems with s24 but it would be foolish of anyone on this forum to give definitive tax advice without knowing all your circumstances. You also need to ensure you do not trigger liability for CGT or SDLT.

Pradip Thaker

13:22 PM, 5th June 2017
About 2 years ago

Reply to the comment left by "Ian Narbeth" at "05/06/2017 - 13:13":

Thank you.
Will take your advice


Leave Comments

Please Log-In OR Become a member to reply to comments or subscribe to new comment notifications.

Forgotten your password?

OR

BECOME A MEMBER

And the landlord vote goes to - ?

The Landlords Union

Become a Member, it's FREE

Our mission is to facilitate the sharing of best practice amongst UK landlords, tenants and letting agents

Learn More