UK Landlord Forum / Life

Afternoon folks,
Firstly, apologies for another post on this subject but i,'m hoping someone more intelligent will come along and enlighten me.

I've been reading with interest the various articles regarding interest rate relief. I'm only a small time landlord but keen to get a couple of other properties so need to get grip of how this will effect me.
So, when this takes effect in 2017, will we all now only be able to claim 20% of our interest payments, or is it going to be phased in over a few years, so does it start at for example 70% in 2017 with the 20% rate being fully in place by 2020.

Hope that question makes sense.

VMT.

It's not interest rate for starters.

Q1. Do you pay 40% tax?
Q2 Do you expect to?

If you expect to earn over £70,000 a year, pay for an accountant who may be actually "intelligent" enough to explain it to you.

Other wise read the worked example again, and then wait for the transitional regulations published in the finance act.

Quote from: Hippogriff on July 24, 2015, 03:08:14 PM
It's not interest rate for starters.

Great, thanks for the correction, so are you going to enlighten us with your knowledge?

I actually think it's only you that's struggling with how this will affect you. Everyone else gets it.

Tough crowd.

@MUFFSTER
It will only affect you if/once you fall into the higher rate tax bracket.

In any case, here's an article which may help, it's mostly in laymen's terms and easy to digest ... http://www.property118.com/restricting-finance-cost-relief-for-individual-landlords-petition/76936/

Thanks for posting up the link, I will read and inwardly digest.

Hopefully then I will have a better understanding of how the change will effect me.

VMT,


Muffster.