The research claims that landlords are failing to claim for their full range of tax allowances. A third of landlords don’t claim management or letting agent fees, 55% are not claiming for advertising costs incurred in letting their property and 13% are not claiming for mortgage interest.
In response, Paragon has published an online tax guide providing comprehensive information on income tax, limited companies and Capital Gains Tax, in addition to the list of tax reliefs available to landlords and tax tips.
Nigel Terrington, group chief executive of Paragon, said: “Good tax planning is key. How landlords implement, manage and run their tax affairs could have a major impact on landlords’ property investments and their overall performance.
“Tax is a complex area and we are confident that our Tax Guide will help landlords obtain a better grasp of tax matters. It’s vital that landlords take advantage of the allowances open to them to maximise their return on investment.
“I’m sure when landlords take all of these costs into consideration it could generate a significant saving on their tax bill.”
