The tax treatment of a property transaction depends on whether the land is held for trading purposes or whether it has been acquired as an investment. As a general rule of thumb:

A person who acquires property with a view to renting it out to tenants is normally regarded as holding the land for investment purposes. The land is a capital asset – rental payments constitute revenue receipts and are taxed as income, while gains from the sale of the property are subject to CGT.

Need help? Get subscribed!

To subscribe to this content, simply call 0800 231 5199

We can create a package that’s catered to your individual needs.

Or book a demo to see this product in action.