What is the capital gains impact of Buy To Let?
When the time comes to sell your buy to let property, you will be responsible for paying any taxes on your capital gains. That is, any profit that you make on the sale of the property is considered a capital gain, and you will be responsible for paying tax on that amount.
However, for an individual, in the 2016/17 tax year, you are allowed a tax allowance up to £11,100 for capital items. This is a tax allowance specifically for capital items and is separate from your annual personal income tax allowance. If you sell your property and personally make more than the £11,100 allowance, you will pay a tax rate between 18% - 28% on the profit, depending on the amount of income and capital gains you have.
Guide to Buy To Let Mortgages
- What is a commercial Buy to Let?
- What is Buy To Let?
- What is a Buy-to-Let mortgage?
- What are Typical fees for Buy to Let loans
- What types of property fall under Buy to Let?
- What is an Special Purpose Vehicle (SPV)?
- What is the stamp duty rate for a Buy To Let?
- What are the current Buy To Let Mortgage Rates?
- Buy to Let, what can I claim against tax?
- Ideal Buy To Let Deposits / Loan to Value (LTV)
- Why use a Broker for Buy To Let?
- What is the capital gains impact of Buy To Let?
- Are my Buy To Let profits taxable?
- How to maximise your Buy To let
- What deposit do you need for a Buy to Let?
Just to say a big thank you to you and all the others who have helped with this process – including the underwriters at Shawbrook who met me early this morning. We have completed on the purchase successfully! This would not have been possible without your intervention – so a big thank you.
