High Clarity Accountants

TAX TIP OF THE WEEK – Fancy getting away for the winter months to that new holiday home in Spain , could you do so tax efficiently?

You would love to buy that property, the problem is you don’t have that much in personal savings to stump up a deposit, as all your cash is sitting in your Ltd co bank account.

Of course, you could draw this out as salary or dividends, but much of that cash would be lost to the taxman in the form of personal taxes.

Instead, you could purchase it via your ltd company as a property investment, this would not only mean you avoid the personal taxes but the company can also claim the running costs as expenses.

There will be benefit in kind taxes to pay on your use of the holiday home, however, these can be minimised if you also make it available to company employees as an employment benefit.

Hope this was helpful, for lots more tax tips and strategies get a copy of our 71 ways to save tax checklist https://bit.ly/2YQbhvr

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