From all at Less Tax 4 Landlords
Hello and welcome to our final (and festive) newsletter of 2019!
With many landlords adapting their business to cope with shifting government policy, it’s certainly been a year of change for the sector.
No doubt 2020 will bring much of the same, but also new challenges for landlords – along with the huge opportunity that change always brings.
We’ll be looking at that opportunity closer in January as part of the ‘Landlord 2020 Vision’ campaign on PropertyTribes.com for which we’ve been filming lately. There will also be contributions from highly successful portfolio landlords and industry experts, so definitely one to look out for in the New Year!
Until then, a very Merry Christmas from all of us at Less Tax 4 Landlords. And whilst being a landlord is often a 24/7 business, hopefully you’ll find some time over the festive season to relax and at the very least – have a quick read below of LT4L news!
The Less Tax 4 Landlords Team
Holiday Opening Hours
Please note we’ll be taking a little break over the Christmas period closing for general enquiries from 12:00pm this Friday December 20th until 09:00am on Thursday 2nd January 2020.
Inside Issue #6
- 3 tax increases to go: Are landlords heading for a cashflow crisis?
- Chartered Accountant Chris Bailey answers questions on Section 24 and where the Government could go next
- Following the election result, will the experts be right on Brexit and the property market? – Watch the pre-election debate with Andrew Neil and Iain Duncan Smith
- Reviewing the recent policy changes, Tony asks whether now is the time to stop demonising landlords and if the PRS and Government can instead work together to address the big issues in UK society
- Tony answers questions about his stated views on landlord incorporation
- Hear from LT4L client Jim Haliburton in an open interview filmed by Property Tribes
Trending: Have HMRC Finished with Landlords?
Viewed over 4,000 times in the first 5 days, Chris Bailey (Chartered Accountant, Landlord and Founding Director of Less Tax 4 Landlords) speaks with Vanessa Warwick for PropertyTribes.com about his thoughts on Section 24 and where the government could go next.
Chris was being interviewed in preparation for a Less Tax 4 Landlords and Property Tribes collaboration. Together in January we’ll be bringing Landlords a whole month of useful content, focussing on getting ahead in 2020.
Visit the PropertyTribes.com website to watch the interview and to visit the forum where you’ll find out what other landlords think of Chris’ interview and give their own predictions for 2020.
Politics and Brexit
The National Landlord Investment Show returned to London Olympia on the 5th November with a main stage panel debate titled ‘Fireworks of Brexit,’ hosted again by publisher and broadcaster Andrew Neil.
Following the election result, will the panel of experts be correct on Brexit and the property market?
The full video recording of the debate and a short summary of the main discussion points are available here.
Recapping the recent policy changes, LT4L Founding Director Tony Gimple gives his views on how the PRS and Government could instead work together to address the big issues in UK society, commenting that “rather than demonising an entire sector and using the blunt instrument of taxation for the sake of vote winning political expediency, far better that we widen the discussion and start to work together in order to address the big issues in UK society.”
How Section 24 Impacts Cashflow
April 2020 marks the beginning of the fourth and final year for the staged implementation process of Section 24. However, with the UK’s tax payment on account system, this means self-employed landlords have only felt the smallest impact on their pockets so far.
Have you analysed your own position? Our article on Section 24 and cashflow gives 3 examples plus a recap on how tax payments on account work.
Client Interview: Jim Haliburton
In our third client interview, we hear from Jim Haliburton, also known as HMO Daddy. Jim runs a large portfolio of 160 HMO’s (Housing of Multiple Occupancy). He has over 1,000 tenants and has been in the business for over 28 years. Filmed at our private event in London in May 2019, you’ll hear Jim’s views on being a landlord and how he came to work with us.
Question of the Month: How does LT4L work with me?
Unlike almost every firm, we don’t simply work reactively under your instruction – we know that you’re only speaking with us because like any responsible business owner you’re seeking specialist professional advice that will help to fill in the gaps in your own knowledge. In other words, you’re buying that which we know and you don’t. In real terms, we’re more like a multi-disciplined non-executive advisory board, than traditional accountants, lawyers, or consultants who simply act under your instruction.
Also, like your business, we’re prepared to put in some time without cost or obligation to work out whether we should be working together for the long term. Read about our 4-Stage process here.
In May 2019 Tony Gimple was interviewed by Vanessa Warwick of Property Tribes on why he often speaks up about limited companies and why they’re not necessarily the tax panacea the profession often makes them out to be.
1) There is so much for a portfolio landlord to take into consideration as the best tax structure for them.
2) Property Tribes as an advice forum tries to advise on almost every subject, but when it comes to tax, we say over and over again that you’ve got to get bespoke tax advice and not simply go on the information on a forum. Landlords should speak to a reputable tax advisor otherwise they may not survive.
3) One of the remedies to Section 24 is to incorporate. Why could it be the worst decision a landlord ever makes?
4) Why are you a fan of the Limited Liability Partnership structure?
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