Post on 13-Sep-2014
description
Make more money and pay less tax: Property Joint Ventures
Finance & Tax
o Looking to work with other business partner(s)?
o Looking for the right structure from a finance perspective?
o Aiming to reduce your tax liability?
Are you….
Make more money & pay less tax on your property
portfolio
JV Great Partnerships
Make more money & pay less tax on your property
portfolio
Trump &Kiyosaki
Books & Education
Joint Ventures
JV Great Partnerships
Make more money & pay less tax on your property
portfolio
Jobs & Gates
Microsoft financed Apple’s
recovery
JV Great Partnerships
Make more money & pay less tax on your property
portfolio
Of course
Donald (Not Trump)
& Mickey
JV Benefits
Make more money & pay less tax on your property
portfolio
o Combine finances
o Share financial risks
o Share profits
o Tax strategies
o Banks lending
Different JV Options
Make more money & pay less tax on your property
portfolio
Partnership DirectorsContract
No partnership
Your earnings
=Average of
the 6 closest
people in your
network
JV Option 1
Make more money & pay less tax on your property
portfolio
Partnership
Split profit
s
Agree how profits are to be split
JV Option 1
Make more money & pay less tax on your property
portfolio
Partnership
Split profit
s
o Spouses share profit to minimise tax
High tax earner
Non-tax earnerPROFITS
1% TO 99%
JV Option 1
Make more money & pay less tax on your property
portfolio
Partnership
40%+ Tax
Partnership tax is same as self assessments: 20% - 40% tax
JV Option 2
Directors
Flexibility of splitting shares for financial and tax reasons
33% 33% 33% or 40% 40% 20%
JV Option 2
Make more money & pay less tax on your property
portfolio
Directors
o Directors pay themselves the personal allowances to maximise tax savings
JV Option 2
Directors
o Corporate tax is 20% compared to self assessment of 40% - 50%
JV Option 3Contract
No partnership
Loans
o Fixed rate of interest
o Fixed period of time
o Loan agreements
Example: - £10,000 at 12% - One year
JV Option 3Contract
No partnership
Lender
o £10,000 – Capital debt
o £1,200 income for self assessment
JV Option 3Contract
No partnership
Loanee
o £10,000 – Capital debt
o £1,200 finance cost for self assessment
Make more money and pay less tax on your property
portfolio
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F
REE 20 M
INUTES TA
X CONSULT
ATION
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Make more money and pay less tax on your property
portfolio
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F
REE set u
p of a
lim
ited co
mpany
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Questions?
Contact us TODAY….
W: www.optimiseaccountants.co.ukT: 0115 946 1991E: simon@optimiseaccountants.co.uk
Make more money & pay less tax on your property
portfolio