Landlords in UK who have not taken advice face tax change headache

Landlords in the UK who have not planned for various tax changes that affect the buy to let sector could find themselves facing tax confusion as research reveals many have not fully understood the implications. One in five landlords have moved their property portfolio business into a limited company or transferred ownership to a spouse but one in seven don’t understand the implications of doing so. Research from Kent Reliance, part of OneSavings Bank, suggests time may be running out for those who have not taken tax advice particularly as the result of the phased abolition of mortgage interest payment tax relief bites. It explains that the first of three reductions to the tax relief available on mortgage interest payments came into effect in April 2017, meaning landlords will only be able to claim back 75% of finance costs when they file their returns ahead of January 2019.