News – 06.11.24
Companies House reform: new transition plan published
Companies House reform: new transition plan published … Read more
Insight – 13.11.24
2023 R&D Claim Statistics: What do they reveal?
New 2023 R&D claims statistics show drop in claims. Are companies losing confidence in the scheme? … Read more
Upcoming event – 10.12.24
Funding innovation in the technology sector: Are the government doing enough?
Join us for an exclusive roundtable breakfast to explore the question of whether the government are doing enough to support innovation in the technology sector. … Read more
Find us quickly
130 Wood Street, London, EC2V 6DL
enquiries@buzzacott.co.uk T +44 (0)20 7556 1200
Currently, non-UK resident companies that own UK rental properties are subject to UK income tax at a rate of 20% of taxable profits and are required to submit a self-assessment tax return by 31 January following the end of the tax year.
From 6 April 2020, these companies will be instead be liable to corporation tax and required to file a corporation tax return. While the corporation tax rate is 1% lower (at 19%), this change also means corporation tax rules such as loan relationships, corporate interest restriction and the carry forward loss restriction will now apply with potentially adverse consequences for some property businesses.
Transitional rules apply for periods straddling 6 April 2020 and for companies who disposed of their property in the 2019/20 tax year.
These changes mean that most offshore fiduciary service providers who do their own SA700 Returns will either need to engage a Corporation Tax specialist or invest internally.
Non-resident companies affected by these changes will need to consider both the commercial and compliance impacts of these changes.
Read more on the Budget here.
Currently, non-UK resident companies that own UK rental properties are subject to UK income tax at a rate of 20% of taxable profits and are required to submit a self-assessment tax return by 31 January following the end of the tax year.
From 6 April 2020, these companies will be instead be liable to corporation tax and required to file a corporation tax return. While the corporation tax rate is 1% lower (at 19%), this change also means corporation tax rules such as loan relationships, corporate interest restriction and the carry forward loss restriction will now apply with potentially adverse consequences for some property businesses.
Transitional rules apply for periods straddling 6 April 2020 and for companies who disposed of their property in the 2019/20 tax year.
These changes mean that most offshore fiduciary service providers who do their own SA700 Returns will either need to engage a Corporation Tax specialist or invest internally.
Non-resident companies affected by these changes will need to consider both the commercial and compliance impacts of these changes.
Read more on the Budget here.
If you require any support in respect of the transition, the new compliance obligation or have any concerns regarding a recent property disposal, please get in touch. .
We use necessary cookies to make our site work. We’d also like to set optional analytics and marketing cookies. We won't set these cookies unless you choose to turn these cookies on. Using this tool will also set a cookie on your device to remember your preferences.
For more information about the cookies we use, see our Cookies page.
Please be aware:
— If you delete all your cookies you will have to update your preferences with us again.
— If you use a different device or browser you will have to tell us your preferences again.
Necessary cookies help make a website usable by enabling basic functions like page navigation and access to secure areas of the website. The website cannot function properly without these cookies.
Analytics cookies help us to understand how visitors interact with our website by collecting and reporting information anonymously.
Marketing cookies are used to track visitors across websites. The intention is to display ads that are relevant and engaging for the individual user and thereby more valuable for publishers and third party advertisers.