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Remortgaging personal property to lend to SPV Ltd Co - tax implications


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Hi everyone - can anyone advise on the tax implications of this scenario:

 

I have equity in my main residence which I'd like to remortgage and lend the finance to an SPV ltd company to buy BTL flats. I'm a higher rate tax payer so buying in a ltd co. definitely makes more sense for me.

 

I know if I bought the BTLs in my personal name then I could deduct part of the interest payments prior to tax. Is there any tax efficient way to claim interest relief if the mortgage is taken out personally but used to buy properties within a limited company? If I charge my company interest on the loan, I will get the corporation tax relief but then have to pay 40% tax on the payments via my personal tax return which makes no sense. I'd be better off charging zero interest if this were the case. 

 

If there's no way round this, does it make more sense to take out a ltd co BTL mortgage with higher rates so at least I can claim the interest repayments as an expense? Realise I'll have to do some number crunching but wanted to get the principles straight in my head first. 

 

Thanks in advance! 

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