We at 1st Financial Foundations are always looking to update our clients on how to be tax efficient. This is a great article by Alan Pink who offers a helpful list of tax issues to consider when purchasing a property.
It’s generally recognised that buying a property comes somewhere on the list of highly stressful activities, along with divorce, Christmas, and filling in a VAT return. But the stress involved with arranging finance, chasing your solicitor, chasing your vendor, and wading through reams of ‘searches’ and so on, shouldn’t deflect your mind from considering the potentially very important tax aspects surrounding acquisition of a property.
So, here’s a check list, which hopefully will get you at least asking the right questions, from a tax planning point of view, when approaching a property purchase.
Non-domiciled individuals who are UK resident for more than 15 out of 20 years will become deemed domiciled for all tax purposes from April 2017. Those who become deemed domiciled in April 2017 can treat the market value of non-UK situated assets at 6 April 2017 as being their base cost.