Renting personal property through Limited company

UKSBD

I have my own Limited company (not property related)


I am currently renting a property out on a personal basis completely separate from my limited company.


Can I rent out the property via my Limited company even though the property doesn't belong to the company, if so, are there any advantages, disadvantages in doing this?

theartfullodger

Yes, no worries.

Alter articles of association to permit property holding & management

The company (or any other company) buys the property from you are market price (any other price & HMRC get upset...). You pay CGT on the sale.. Presumably you have the funds to purchase already within the ltd co?

Off you go.. but expect that nice Teresa to change the rules so that any perceived advantages disappear in a puff of smoke...

Anything to do with trying to wriggle out of paying normal taxes ??

Read this lot...
https://www.landlordtoday.co.uk/breaking-news/2016/9/landlords-warned-about-risk-of-using-limited-companies-for-buy-to-let

anselld

For income tax, the income applies to the beneficial owner, i.e. you personally. The Company cannot simply start letting a property it does not own.

You could let the property to the Ltd Co who could in turn sub-let. But it is unlikely to produce any tax advantage by the time you have extracted any income back out of the Company.