With potential adjustments to Section 24 mortgage interest relief and capital gains tax reforms expected by 2026, what tax-efficient structures (e.g., limited company vs. individual) should I consider when purchasing a new build-to-let property in the UK?
Quick Answer
For UK buy-to-let properties, a limited company structure can be more tax-efficient due to Corporation Tax rates (19%-25%) and full mortgage interest deductibility, especially for higher-rate taxpayers, compared to individual ownership facing Section 24 restrictions and 24% CGT.
About This Topic
Compare individual vs. limited company for UK BTL property investment. Understand Section 24, Corporation Tax, CGT, and SDLT to choose the most tax-efficient structure for your portfolio.
This question is part of our Tax & Accounting category, providing expert guidance on UK property investment.
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