Limited Company Property Investing Q&A. SPVs, Tax, Profits, Dividends, Buy-To-Let. 

Great video. The concept of taking £2k dividend every year and then lending that to the company - stroke of genius.

The man, the myth, the legend - Peter

The 20 mins for me just flew by watching this video. Packed full of good information. I actually wanted to ask some of those questions. The Gov website (even though it has this information) some times, it can be a bit overwhelming. Thank you Peter for explaining & breaking down the complicated accounting jargon for the "average Joe". In my opinion these videos work because Justin's fairly new to property investing and thus, he's asking questions from that perspective. And that helps people who want to take their first steps into property investing. Love the deut - it works really well. Thanks again guys.

Love these videos with your accountant! Another good way to take money out is to charge interest on your directors loan, it’s a tax deductible expense for the company and we also have an interest allowance personally 🙏

Thank you Peter for explaining the subjects so clear!

Yes man I love these videos! Thank you so much for all you do!

One of the best explained video on SPVs I have seen. I finally understand it!!

It is one of the most useful and fruitful contents I have seen. Thank you so much Justin and Peter!

Probably the best video I've seen on buy to lets on youtube.. really good stuff.

Fantastic questions and brilliant easy to understand answers from Peter. Thank you for a great video Justin. I hope your BTL business is doing well.

Such a great value in one video ... AMAZING

Great video Justin very informative, I never comment on RU-vid videos but this one deserves it.

Fair play Justin and Peter great info filled video

what a great video - packed with a lot of information

Thanks. Great interview and useful explanations.

Excellent video, really useful insights offered by Peter and yourself there Justin.

the best video for that topic on YT. Congrats and thanks to both of you. I will definitely get in touch with Peter and I also hope to meet you some day in Liverpool, Justin. I have started to invest in the UK with a mixed use property. I try to earn money from my coming wine bar to invest in properties in the northwest UK :)

This is perfect timing! I have been looking for the proper answer regarding repayment of directors loans all day! Great content as always Justin and thanks to Peter for sharing the knowledge 🙏

Really good stuff. Thanks to both of you

Hi Justin - wow what a video in simple terms. This is just what I've been trying to sort out and get correct facts. Peter certainly sounds clued up on the property game for landlords and i will be emailing him next for assistance on moving my business forward. If you can offer any further advise its always going to be appreciated as I'm sure all your viewers agree.

Great Q+A Justin, with very useful and interesting info.

Great video, thanks for the information!!

Great video...thank you so much 🙏

Going hunting for an accountant tomorrow. Couldn't have found this video at a better time as this is what I need, someone like Peter that takes the time to explain every little detail to you. Thanks once again Justin, great content as usual my man!

Fantastic content as always Justin, Peter is a very knowledgeable bloke 👌

thank you, look for to more with Peter and yourself 👍

Very useful video as always Justin 👍

Will be calling Peter very shortly thanks for the info Justin 👌🏻

Great info, thank you 😊

Peter is a great partner. I look for partnerships with any service I bring on and he spends time, explains and listens. On top of that...he really knows his stuff

Great video and great advice on tax planning for ltd company! 👍👍👍

Wow amazing raw content

I really enjoyed the first video of this mini-series so nice to see Peter back on your channel. Great video gents, very helpful.

I’m training to be a chartered accountant and the advice being offered is top quality. Great video and good to see an accountant be able to get in on the content too! I’m looking to invest in property in the near future and taking on all the tips. Thanks so much for sharing!

Super,, expecting more like this for the new Comer's.

Great video, would be good to ask about ABC shares structure in a limited company !

The contents are brilliant and informative, Justin you are like a breath of fresh air bringing people joy while learning. Lots of the course rob people thousands of pounds but no real substance. Thank you! I do have a question about setting up a limited company. Can you add SICC code ( which is for buying to let ) to your existing trading company or do you have to set up a brand new company only for buying to let? As Peter said HMRC doesn’t like you mix the trading company to SPV. Your answer will be appreciated. Thank you and keep up the good work!

👍🏽 very informative...

I have a notebook now to write down all the tips & info from your videos Justin. Once I'm ready I'll be putting the plan to action 😅 Keep them coming!

Nice video and good information. 👍this Advice is priceless: Withdrawal of £2000 dividends tax free annually and pay back as a loan to company so you can withdraw this amount in future tax free. 👌🏻 Keep up the good work 👍

Excellent channel 👏 👍 👌

Would love to hear a LLP vs LTD discussion- pros & cons for property investment

One point to bear in mind is the increased Corporation tax burden from 2024 as a result of yesterdays budget, rising from 19% to 25% on a taper basis. Will only affect companies with more than 50K profit a year. But one thing to bear in mind is that if you are a controller shareholder of more than one company, that 50k limit applies across all your companies.

Great info Justin. Would be good to get further detail on the mechanics of how a BTL is purchased within a LTD co. (i.e. loan to the company, process of finding LTD lenders, things to look out for, like the SIC code preference of lenders).

An alternative way of paying yourself is investing in a pension. This is from pre-tax profits, and government also gives an uplift of the investment... The downside is the money is tide up until you reach retirement (unless you choose to use your pension for investment in Commercial property).

19:45 well that aged well LOL!!! 25% on corp tax if profits is 50k+ starting 2023 LOL!

Good video Justin... yeh the sic code is really important, I made the mistake of putting 2 sic codes on my property LTD company and then had to pay to remove one because the mortgage lenders would not accept one of them. I definitely think a ltd company is worth it if you plan on building a portfolio. I haven’t done a video about it yet but I’m sure I will... 😆

From research I think there's one more way to take money out and in a particularly tax efficient way - pension contributions. You would be able to get corporation tax relief as an allowable expense too, so it's entirely tax free until you withdraw from your pension

Hi Justin! Great video, I have two questions I hope you can help with. Firstly as the limited company share holder, if you die and your assets are within the Company, do you dodge inheritance tax? Secondly if you live in a flat and rent out two rooms to lodgers, do you recommend using a limited company for the lodgers rent?

Thanks for the video. Quick question: does ATED apply to properties over 500k held in a company if they are BTL properties/HMOs? I’m not sure what constitutes a ‘commercial’ rent exemption

What a great and informative video! I have a question... Could you also employ a second person say as a 'admin assistant' through the business and pay them a wage also? Or can you only take a director salary ?

Hi, great video! Could I just get someone to clarify though. The 4th way of taking money out the company. Have I understood the following correctly? Say for example you initially loan £300k to the ltd company so that you buy a property worth 300k. And say the company makes 10k a year in rent from that one property. Am I correct that you are saying that you are entitled to take 10k out of the company every year for 30 years - completely tax free until your loan has been repaid? It sounds too good to be true so I feel like I must have misunderstood. Thanks

Hello Justin, thank you so much for your videos. Just a quick question for Peter or yourself. Can you charge interest on the director loan? Since you are lending money to the company, which is a different entity. Interest rates are low, another way of getting money out of the company 😅

Brilliant video! Where can we find Peter? Can you change a shareholder? Or add shareholders later on?

Super video. Is it sensible to release equity from a residential repayment mortgage and buy two more properties when your residential mortgage costs £300 more.

Hi Justin, another great video 👌🏽 what’s the best way to reach out to you for some advice in property BTLs?

Great video Justin! Also just giving you the heads up I bought one of your Merch from your Website today :) #LongGam£

What about pension?

Could you buy properties through a limited company and leave in one of the property? Are there any advantages or disadvantage? Does it make sense for the first time buyer who is in a professional job?

I was told the other day that if i had a spv and i was taking money out as a director loan , that i would be paying tax on this money

Hi Jamie, I have bought the property through limited company (buy to let). Circumstance change . Now I want to live that property. How I can change to my personal name. Please advise.....

He didn't say if there were any tax implications on doing it the expense way

He said Dividends can only be paid if the company has made a profit and has paid all it's liabilities. I'm guessing this doesn't include Directors Loans? For example if the Company has a massive debt to you can you still take a Dividend?

Fantastic video! Also, am I right in thinking that 19% is due to increase to 25% by 2023?

Hi Justin, great video along with the initial one with your accountant. I have a very basic question that I guess you can answer as you are 1+ year down the line. In year 1, on the P&L, does the house purchase appear as a payment out. i.e in year 1 do you post a loss of 15k ( taking into account say 2.5k operating profit, then in year 2 the P&l would have the balance of a 12.5 loss reducing year on year so you dont pay any corp tax. or is the house purchase not nettable i.e year 1 you might have operating profit of 2.5k and liable for corp tax ? a daft question but I guess that makes a difference to my targets and plan to build a portfolio etc. thanks

Great video. I would love to ask your account of the benefits of having one property per limited company. For example if I have 10 property's I have each of them in a different limited company. Would love hear some thoughts on this. I am under the Impression that's this can be a better way to buy property for tax reasons. A company called Getground which I am currently using, will structure your portfolio in this way..

My brother wants to invest in to my UK property company, and is not fussed when or if he is paid back. From an accounting/tax perspective, how will this be treated?

Can an spv get a repayment mortgage to buy to let

Sic

How soon can you buy a BTL after starting a LTD company and putting a deposit in? Would banks need to see 2 years books before lending?

New subscriber and finding your channel really useful. New to buy-to-let and as expected, a bit apprehensive. Can I ask your advise on business accounts please. looking to open an account with "Countingup" but not sure how trustworthy this company is. I have never heard about them till I received an advert letter in the post as soon as I registered my company. Will appreciate your advice on this.

🙋🏼‍♂️ One quick question regarding the directors loan. Is that paid after corporation tax has been paid? Or can it be deducted before? Are loan repayments an allowable expense?

When you put the loan into the company can you charge the company interest?

Hi Justin do you purchase your btls in Ltd company too?

I am a personal owner and i have a SPV and I watch Landlords who are now using Ltd Co wrapper we have seen how personal ownership is being taxed S24 and Govt can see Landlords using SPV I believe in coming years the SPV will be taxed for none trading Companies Nothing is set in stone Ltd Co is far more transparent than personal ownership and Sic codes show who is buying property via a Company a change of taxation could be swift and easy Look at S24 Do you really think govt are not watching this sort of wrapper

Can the company pay back a loan with pre tax income or is it after tax?

Have you ever heard of get ground

So how are people like robert kiyosaki not paying tax by getting passive income?

good accountant, limited view of company law. structuring a company has nothing to do with tax. if a tax law changes, it does not change the ways a company is structured. actions you make now will greatly affect your future. you would be kicking yourself in 30 years if you hadn't structured your company well now.

Hi can you tell me how I can get in touch with you for advice etc?

Great video Justin, do you have a link to Peter's website or email so I can contact him?