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Top city accountant reminds second-home owners of ‘troublesome’ tax trap

A leading Liverpool tax specialist is reminding second-home owners about the current government tax legislation regarding capital gains.

Unlike past Treasury rules, UK residents with two homes are no longer be able to elect their main property that is exempt from capital gains tax. Instead, primary residence is forcibly decided by HM Revenue & Customs.

Des Veney, Director of Haines Watts Chartered Accountants on Victoria Street, is offering continuous information and guidance to those that are affected by the policy.

He said: “Contrary to the previous schemes, which enabled UK residents to elect a property to qualify for ‘private resident relief’, second-home owners could find themselves in a troublesome situation, as they no longer have the flexible option of choosing their main residence.

“Therefore, I would like to remind those with two residences of this legalisation and offer them one-to-one support, in order to decrease the likeliness of financial loss.”

According to a recent national survey, there are approximately 255,000 second-home owners in the UK. However, these figures may drop significantly following the tax adjustments.

Des added: “My advice for those who are worrying about what the future may hold for them, is to make an appointment with one of our tax specialists as soon as possible. Our dedicated team will put homeowners’ minds at ease, after constructing positive solutions and offering tailored support and advice.”

For more information about Haines Watts Chartered Accountants visit www.hwca.com/accountants-liverpool

This was posted in Bdaily's Members' News section by Jack Woods .