I'm considering a capital raise remortgage on a jointly owned BTL. What are the tax implications (CGT, income tax) if the funds are then used by only one owner for a separate property investment?
Quick Answer
Remortgaging a jointly-owned BTL for one owner's separate investment can complicate tax relief on mortgage interest. Section 24 disallows interest deductions if funds are not used for the joint BTL, affecting income tax. CGT is not incurred by the remortgage.
About This Topic
Understand tax implications for UK BTL investors when capital raised from a jointly owned BTL remortgage is used by one owner for separate property. Discusses income tax, CGT, and beneficial ownership.
This question is part of our Tax & Accounting category, providing expert guidance on UK property investment.
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