Ltd Management Company to reduce tax

[RomansProperties]

Hi

I am doing a bit of research into setting up a limited company and using that company to collect all rents and take a management charge for doing so.
Hopefully if this is possible some money can stay in the limited company and be taxed at 20% rather than 40%.

Does anyone have any ideas or advice on this area?

Before I go see a property accountant.

Thanks

John

[Gordon999]

If you transfer properties held under own name to company, there may be capital gains tax to pay.

Get a updated market values of any properties before seeing the accountant.

[Telometer]

Gordon, that's not what he's suggesting.

I guess that the company might manage to keep 5-10% of gross rents, just like a managing agent would charge? But I feel a little uncomfortable about your working for free for the company - it feels more than a little artificial.

And then, what would the company do with the spare cash? How would you plan to get your hands on it to spend it?