How can you prevent paying income tax on second home?

theartfullodger

Your whinging about "being taxed twice" is really objectionable: You are being subsidised by the tax-payer, many of whom can hardly afford to support you this way, by being able to get tax-relief on your mortgage interest payments,..

Whinging like that gets decent Landlords a bad name...

btw, for the record, last time I totted them up there were at least 7 ways a Landlord could be taxed in the lettings business - you're paying all or other due taxes?? I'm sure you wouldn't dream of being dishonest, immoral or unethical...

Cheers!

Artful

MrsSid78

I'm not in the fiddle!!!!! Have you never heard of the term loop hole! Obviously not.

minnie123

So how much profit per year are you making on it to pay tax on then - It can't be a lot surely if theres a big mortgage on the place. Most rental accounts I prepare make a loss or a small profit due to the mortgage interest costs.

MrsSid78

I pay absolutely everything thank you! And have worked since I was 16 so don't give me the "moral bull" you just have. If you can't answer the polite question don't bother with your immature abuse to somebody you don't even know, your a rude, offensive person.

MrsSid78

Hi Minnie

I'll drop you a line tomorrow, I'm heavily pregnant right now and the idiot Dodger has really upset me so I'm giving up tonight, I'm being made to sound like some monster! It was only a simple question.

Thanks

Mrs Sid

geoffky

dont forget your maternity grant!!!

ILW

MrsSid78 wrote: »

Because the rent doesn't cover the mortgage! and I would appreciate the stupid comments that what I'm asking is illegal! All I asked is there ways round it! If I was completely dodging I would do what many other people do and not file the house at all to the tax man!!!!

I will take it as a no then and call an accountant who gets pays to offer advice on this without smart !!!! comments! So much for this being a useful site!

If the rent does not cover the mortgage interest, you will not have to pay any income tax. Problem solved.

theartfullodger

MrsSid78 wrote: »

Hi Minnie

............ and the idiot Dodger has really upset me ..................

Thanks

Mrs Sid

Should I assume you are referring to me?? - btw, Lodger, not Dodger. Did you perhaps misread anything else as well?? What prompted your remarks??? Hadn't appreciated I was an idiot, thanks! What particularly prompted the epithet "idiot"??

Sorry to hear that about your being upset, was just trying to point out reality & the normal, decent, fair British position.

Landlords are in the extraordinarily privileged position of getting tax relief of their mortgages, unlike home-owners.. With the ConDems trying to find ways of saving money any which-way they can perhaps Landlord tax-relief on mortgages will get cut, along with all the other benefit cuts...

Best regards to all, including those who disagree with me!

Artful (Landlord since 2000, tax returns all done to date thanks...)

JQ.

MrsSid78 wrote: »

Because the rent doesn't cover the mortgage! and I would appreciate the stupid comments that what I'm asking is illegal! All I asked is there ways round it! If I was completely dodging I would do what many other people do and not file the house at all to the tax man!!!!

I will take it as a no then and call an accountant who gets pays to offer advice on this without smart !!!! comments! So much for this being a useful site!

If the rent does not cover the mortgage then you have no tax to pay ! You only pay tax on the profit above the mortgage cost.

EmRayMarRhys

Yes!
There is a way to do this!
There is a way to COMPLETELY avoid paying the tax and best of all it's COMPLETELY AND UTTERLY LEGAL!!!
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Don't have a second home.