What Can A Property Tax Advisor Do For Me?
Do you own multiple properties in the UK? Are you currently - or planning to - rent out one or more of your properties? The UK is full of landlords that do this all the time, largely as rental properties are a fantastic source of passive income. It's one of the most popular ways of using properties, and we've also seen an increase in people who own a house, move overseas, and rent out their UK home while they're abroad.
Regardless of why you're doing it, if you make money from rental properties, you may need to pay tax. In fact, any income that's generated from your property - by any means - that exceeds £12,500 will need to be taxed.
As you can imagine, things can get quite confusing when you consider what tax you need to pay, how much needs to be paid, and when you need to pay it. This is where hiring a property tax advisor
can really be beneficial.
What is a Property Tax Advisor?
A property tax advisor exists to help you file any taxes owed from money generated by your property. The sole purpose is to guide you through the tax filing process, ensure you find the right forms to fill in and help you in any way possible.
Why should you work with a Property Tax Advisor?
What benefits can property owners see when they hire a property tax advisor to work with them?
Firstly, you will benefit from an extreme amount of expertise in your back pocket. Property tax advisors are updated with all the latest legislation changes and tax trends, ensuring you always know exactly what needs to be done.
You will never be in a position where you miss tax payments because you were unaware of rule changes or new deadlines. A property tax advisor uses their experience and knowledge to constantly stay on top of things while keeping you in the loop.
Secondly, working with property tax advisors lets you learn more about your property and how successful it is. A significant part of the tax filing process is seeing how much money you generate from your properties.
This means you have to keep up-to-date accounts detailing how much income you earn - as well as what expenses go into running your rental property. Alongside understanding how much tax you need to pay, this can help you see if you're making a profit or not. Thus, you can use the information provided by your tax advisor to see where you can maybe improve operations and make your property more profitable.
Thirdly, working with the right advisor can help you if you are currently a non-resident landlord with property in the UK. HMRC set up the Non-Resident Landlord scheme
to tax non-UK residents with rental properties, and it can be confusing to get your head around.
When living abroad, you don't always have time to think about your property or remember important things like tax. Experienced property tax advisors will guide you through this scheme and handle the process for you. Professional advice will be given out to ensure everything goes as smoothly and hassle-free as possible.
Finally, you can save money on taxes by working with property tax advisors. A lot of landlords are unaware of what can be claimed as an expense. Therefore, you're filing tax returns without taking off expenses that can lower your total bill.
With experienced tax advisors in your corner, you will learn exactly what you can legally claim as an expense to get deducted from your tax bill. Not only that but there are certain tax reliefs that landlords might be able to claim. Again, working with a specialist property tax advisor will help you see if you're eligible for any reliefs. Thus, you can reduce your tax bill even further, saving more money.
Where can you find a Property Tax Advisor?
Ideally, you want to hire property tax advisors that are vastly experienced and can offer comprehensive services that are tailored to your specific means. As it happens, you're in the perfect place for this!
At Smart Solutions Taxation & Accounting, we have all the experience necessary to help you get the most out of your properties. If you're a landlord that resides in the UK, we can assist you with all things related to taxes.
This includes working out how much tax you owe, handling your expenses, and helping you file the necessary tax return. We can also help non-UK resident landlords with their taxes on UK homes as well.
To learn more about what we can do for you, get in touch with a member of our team today!