Lawyers warn of HMRC interest in CGT avoidance scheme

Lawyers warn of HMRC interest in CGT avoidance scheme

Property investors may face interest from taxman

Property investors are being warned that if a capital gains tax avoidance
scheme becomes too widely used, it may face a clampdown from
HM Revenue & Customs.
The scheme in questions allows buy to let investors to escape
CGT if they put the property
into a discretionary or life interest trust.

But Malcolm Graham at
Solicitors Financial
Management
warned that while the arrangement had been accepted by HMRC, it
was possible the taxman may decide to clamp down on such an arrangement if it is
widely used.

Graham warned that HMRC did not look kindly on blatant tax avoidance and he
warns investors to be ready for a thorough tax investigation if they use this
device.
Further reading:

Shell finally resolves CGT saga

Assets gained in divorce to escape CGT

Lib Dem taper plan set to impact on private equity

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