Tax breaks make sense for landlords

Posted: 28 May 2008 10:53:45 GMT

A mortgage provider has issued a tax guide for landlords as research reveals most buy-to-let investors are unaware of the tax breaks they are entitled to.

A mortgage provider has issued a tax guide for landlords as research reveals most buy-to-let investors are unaware of the tax breaks they are entitled to.

Paragon Mortgages hope the guide will allow landlords to make "significant savings" on their tax bills and help them to maximise their profit margins.

John Heron, managing director at Paragon Mortgages, said: "It's an extremely complex area and we are sure that our Tax Guide will help landlords get a better grasp of tax matters. It's vital that landlords take advantage of the allowances open to them to maximise their return on investment."

The government provides a £1,500 allowance to improve the energy performance of a property, but when questioned 86 per cent of landlords were unaware of the money available to them.

The tax advice comes as Paragon Advance announced the launch of a 'No Deposit' insurance policy that allows landlords to rent property without a deposit and protect their property against damage at the same time.

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