April 2006 will see a major shake up of pension rules. The current complex legislation is to be replaced by one set of rules and your investment choice will be greater.
The pension fund would own the property and management becomes the responsibility of the pension fund.
Rental income will be paid to the pension arrangement - TAX FREE
Tax relief available on contributions.
Freedom from Capital Gains Tax (CGT)
Any costs associated with residential property purchase through a pension arrangement can be paid from the pension fund.
Self-invested personal pension plans (SIPPS) have been one of the few success stories in the pension market for years
(source: The Sunday Telegraph 16/05/04)
In short a SIPP is just another means of saving for retirement, except you benefit from tax relief! A SIPP has a further edge over most personal pensions as it offers a wider investment choice.
Castle Residential Services has a relationship with a large firm of financial advisors who can provide information on SIPPS, Buy-to-let mortgages, Tax Advice and Wealth Management. Please
contact us for details.
