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Where Taxpayers and Advisers Meet

Reclaiming ADS when selling to LTD company

JBern
Posts:2
Joined:Sat Mar 12, 2022 6:06 pm
Reclaiming ADS when selling to LTD company

Postby JBern » Mon Dec 04, 2023 8:43 pm

Good evening all,

I am looking to purchase a house and retain my current house as a rental property. The new house is bigger and as a result we are ending up paying £18,000 ADS, my question is if I was to put my current house into a LTD company which has to pay ADS even on it's first property this would mean paying an additional £10,000, could I then reclaim the £18,000. Obviously I still will pay ADS but it effectively also me to nominate the rental property as the additional dwelling, and in this example would save ~£8,000.

Thanks,
JBern

AGoodman
Posts:2004
Joined:Fri May 16, 2014 3:47 pm

Re: Reclaiming ADS when selling to LTD company

Postby AGoodman » Tue Dec 05, 2023 11:32 am

Yes. you should of course take proper advice on the wider ramifications including the taxes you will pay if you ever want to sell the first property and/or wind up the company.


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