Property
Business Incorporation
Structuring Property Holdings for Better Tax Outcomes
Incorporating a property business can offer significant tax benefits—particularly for landlords looking to expand, manage succession, or reduce their long-term liabilities. At My Tax Consultants, we advise individuals and families across the UK on the practical and tax-related aspects of transferring property portfolios into a limited company structure.
This approach is often considered by landlords facing increasing income tax charges on rental profits. When set up properly, incorporation may allow access to lower corporation tax rates, more flexible use of retained profits, and potential inheritance tax advantages.
Why Consider Property Incorporation?
Private landlords are increasingly affected by mortgage interest restrictions and rising personal tax liabilities. Moving from personal ownership to a company structure could support:
- Lower tax on rental profits
- Retention of profits for reinvestment
- Clearer succession planning options
- Increased flexibility in income extraction
Every case is different. A full review is essential to understand the costs, reliefs available, and any legal or commercial implications.
What to Watch Out For
There are potential costs and risks associated with incorporation. These may include:
- Stamp Duty Land Tax (SDLT)
- Capital Gains Tax (CGT) on the transfer
- Lender consent on existing mortgages
- Company administration and compliance requirements
However, under specific conditions, it may be possible to mitigate these costs. For example, Section 162 Incorporation Relief and incorporation as a genuine partnership business may help reduce exposure to CGT or SDLT.
Our team assesses whether your property activity meets HMRC’s definition of a business and provides clarity on the reliefs available. We also work alongside legal advisers and accountants to coordinate each part of the process where needed.
Our Support with Property Business Incorporation
At My Tax Consultants, we take a practical and well-informed approach to incorporation planning. This includes:
- Reviewing your current portfolio, mortgage position, and rental activity
- Assessing eligibility for key tax reliefs
- Liaising with solicitors and mortgage providers where applicable
- Structuring your company ownership for long-term flexibility
- Preparing a full report with cost/benefit analysis
We focus on making the process clear, compliant, and suited to your long-term property strategy.
Who Should of Consider This?
- Landlords with multiple residential properties
- Property investors operating in a partnership
- Families planning to pass assets to the next generation
- Owners of properties generating high levels of rental income
Even modest portfolios can benefit from incorporation, depending on how income is currently taxed and the owner’s goals.
Speak to Us About Property Business Incorporation
Thinking about incorporating your property business? Our tax consultants provide direct, reliable advice tailored to your goals. With experience in property tax advice, company formation, and relief application, we help landlords throughout the UK plan ahead with confidence.
Get in Touch
Find out if property incorporation is the right fit for you. Schedule a consultation with My Tax Consultants today and start making your property investments work more efficiently.
