Ownership Structures

How Kingston Smith’s property team can help with Structuring Ownership

Getting the right structure

We often find that property investors do not consider the investment vehicle before making a property purchase. Deciding to own a property in a limited company is not always the correct choice. Not using the right vehicle could mean you are faced with a tax inefficient structure, making it difficult for you to extract the maximum benefit from successful, realistic property transactions.

How we can help you

The solution is to consult us well in advance of a transaction so that these problems can be avoided! Depending on your objectives, there are a number of choices available to you. Some vehicles that we consider are:

• A limited partnership (LP) under the Limited Partnership Act 1906. One member has unlimited liability and the members may be corporate or individual. An LP is tax transparent.
• A limited liability partnership (LLP). This is a newer vehicle which has been available since 2001. Whilst LLPs were initially intended for the use of professional practices such as Solicitors or Accountants we find their flexibility particularly attractive for property transactions. LLPs are registered at Companies House as a separate legal entity and file accounts. They pay no direct tax - the profits or gains are taxed on the members, who can be individual or corporate.
• Limited companies can often be used in conjunction with LLPs or LPs to end up with the most flexible and efficient overall structure.
• Offshore companies or limited companies established in other EU states. Such entities can be used as they benefit from double tax treaties and protection by EU freedom of establishment rights.

How we work with you

We will provide you with the right advice at the right time in order to make the maximum financial impact. We do this by providing you with a Partner who is accessible, who will take the time to understand your business and who will co-ordinate a team of accounting, tax and audit specialists to successfully meet your objectives.

About Kingston Smith's Property Team

Kingston Smith is the fastest growing top 20 firm of Chartered Accountants. Our property team have considerable experience in the property sector and work with clients in development, construction, investment and management. We help these clients run their businesses more successfully by providing practical advice such as planning ownership structures to minimise their tax exposure, accounting services ranging from bookkeeping, management accounts to the preparation and audit of year end financial statements to improve financial efficiency and helping source alternative methods of funding.

To find out more about Kingston Smith's bespoke services to the sector please click here

Contact us

Kingston Smith Property Team

Martin Muirhead +44 (0) 20 7566 3705
Heather Powell +44 (0) 20 7566 3811
David Benton +44 (0) 1708 759 701
David Montgomery +44 (0) 1737 781 545
Jonathan Seymour +44 (0) 20 8848 5531
Nigel Birch +44 (0) 1727 896 006

Financial advice is provided by Kingston Smith Financial Advisers Ltd, an appointed representative of Argentis Financial Management Ltd which is authorised and regulated by the Financial Services Authority (FSA). The FSA does not regulate some forms of buy to lets, commercial mortgages, tax advice, wills, trusts or certain offshore investments.