Citi Accounts | Professional Accountants for Landlords

Being a Buy-to-Let Landlord

While purchasing a buy-to-let property can be a great way to invest any money that would otherwise be sitting in a bank with a low interest rate,  you still need to run your buy-to-let properties as a business, keeping records of financial information, income and allowable expenditure.

You’ll then need to use this information to fill out a tax return each year so that HMRC knows how much tax you owe. This is why it is recommended that you get the advice of a specialist accountant for landlords such as Citi Accounts.

Buying Property

Whether you are a first-time buyer or you are a seasoned buy-to-let landlord, each time you buy a new property, you need to think of it as a business investment either short term or long term. It is important to decide the business structure that will be buying the property as there are different rules and allowances applicable. You need to ascertain the likely increase in property value and also the market rentals in the area when considering your next property investment. 

Buying Commercial Property

If you own and run a limited company and you decide to buy commercial property for your business, you can choose to buy it personally and then act as the landlord to your limited company, charging rent. You could also rent out spare office space to other companies. If you do buy commercial property you will be a landlord and should consider getting the advice of a specialist landlord accountant.

Property Tax

Property Tax is where being a landlord can be most confusing, since the rates of tax depend on how you buy the property – you can purchase a property as an individual, as a company, or as a partnership. Citi Accounts can advise you on the most tax-efficient way to purchase a buy-to-let property.

 

Rent a Room Tax Relief

Renting a Room has certain tax relief benefits. If you meet certain criteria this can be fruitful in saving you taxes. It is important that you remain at the forefront of Landlord rules and regulations which are constantly changing.

Our accountants will keep you regularly updated and account for any new rules that affect you as a Landlord.

Thereafter, we will ensure your books are ALWAYS up to date and you NEVER miss a deadline.

 

We do the Bookkeeping!

Unlike other accountants, when you join Citi Accounts we will carry out full bookkeeping for you. This means that you can focus entirely on running your business.

We know that businesses can often miss out including small receipts and invoices which can cost them penalties as well as paying more taxes. This is why we think its so important for accountants to carry out the bookkeeping in addition to filing taxes and providing proactive advise.

 

Bookkeeping

Book keeping

Citi Accounts | Accountants for Landlords – Main Services

Rental Income and Capital Gains Tax

The Specific Rules and Income Tax Calculations for rental properties vary according to the following circumstances:

  • Letting a residential property
  • Renting a room in your home
  • Letting a Furnished Holiday Letting

Note that an important consideration in the calculation of the above is the residential status of the Landlord.

If you are considering selling one or more of your properties, it is advisable to get a Capital Gains tax calculation completed as the timing of the sale could have a big impact on the tax payable.

 

Accountants for Landlords

Accountants for Landlords

Citi Accounts | Accountants for Landlords – Main Services

Changes to legislation and business structure

The main challenges to landlords is the constant changes to legislation. As such, an important consideration is is the structure used to buy properties either as a sole trader, partnership, Limited liability partnership or limited company.

Such decisions, if made correctly at the outset will save large amounts of tax.

 

Bookkeeping

At Citi Accounts, we will help provide you with accounting software to ensure that you keep records of all business sales and expenses. 

We will provide full bookkeeping services to ensure that full records are kept.

 

Personal Tax

As a sole trader or partnership Landlord, you’ll need to submit a Self-Assessment Tax Return each year. Citi Accountants will do all the hard work for you, and ensure your tax returns are always submitted and paid by the deadlines. 

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