Danielle Lane

Hello Thank you for your reply. Regarding trading (flipping) property; I mean buying a property, refurbishing and selling thereby creating a as a self employment business and completing the SA103 Self-Employment supplementary page. In this instance I understand the finance cost of remortgaging my own home would be fully deductible as a business expense? Thank you

Hello, Could you point me in the right direction for the guidance relating to claiming finance costs and interest relief from remortgaging my own unencumbered residential property and using the funds for a property business. PIM2052 states in General Rules "A customer cannot, for example, deduct interest on a private loan, such as a loan used to buy their private residence." Is this only applicable if the the loan is not used wholly and exclusively for the property business? NB I am subject to income tax not corporation tax As I understand it, the finance costs would be subject to interest relief at 20% in a property rental (investment) business but fully deductible as a business expense when trading (flipping) property. Is that correct?

Thank you for your reply. Can losses be transferred over? I believe losses from trading can be offset against rental income but not vice versa as in my example above. Is that correct?

If I have income from both renting a property and trading (flipping) a property do I need to complete both supplementary pages of the self assessment tax return? If so, are losses from one transferrable to the other. For example, if there is a £20,000 profit from trading a property but a £4,000 loss from the rental business would I pay tax on £16,000?

Hello, I am considering the best way to finance a property which is in need of refurbishment so a buy to let mortgage is not an option. I have 3 options to raise finance and wonder if the interest part of the repayment is an allowable expense on all of them: 1. Personal loan 2. Bridging finance 3. Remortgaging my unencumbered residential property The plan is to refinance to a buy to let mortgage once the works are complete. However, I would also be interested to know if there would be any change to allowable expenses regarding finance interest payments if the property was sold rather than rented. Many thanks

Hello, Are council tax and utility bills an allowable expense when refurbishing a property to let? Thanks