Home / Landlords: property income tax is rising. Should you use a company?
Landlords: property income tax is rising. Should you use a company?
From 6 April 2027, landlords who own property in their own name pay 2 percentage points more on rental profits.
What is changing
| Tax band | Until 5 April 2027 | From 6 April 2027 |
|---|---|---|
| Basic rate | 20% | 22% |
| Higher rate | 40% | 42% |
| Additional rate | 45% | 47% |
These rates apply in England, Wales and Northern Ireland. They were confirmed in the Budget on 28 October 2026.
Property in a company
A property company pays Corporation Tax on its rental profit instead, at 19% to 25%, and can deduct all its mortgage interest. You then pay dividend tax on anything you take out.
Moving property you already own into a company can bring Capital Gains Tax, Stamp Duty Land Tax and a new mortgage, so it needs checking property by property. Buying new property through a company is often simpler.
If you already have a property company, we prepare its accounts and Company Tax Return from £199.
See your company’s Corporation Tax in a few seconds.
Try the Corporation Tax calculatorWe can take this off your plate
We prepare your accounts and Company Tax Return, look for ways to cut your tax, and file both once you approve. £199 for turnover up to £90,000, £499 above. Send what you have, even if it’s incomplete.
No bookkeeping? No problem.
Send what you have, even if it’s incomplete.
No bookkeeping needed first. Bank statements are enough to start. We do the bookkeeping, prepare your accounts and tell you if anything important is missing.
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Tell us about your company. We’ll explain what we need from you and exactly what it costs.
Decide in your own time
If you’d like to go ahead, we’ll send you a link to get started. If not, that’s fine. No obligation.
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Why companies choose us
Clear prices
£19 for dormant companies, £199 or £499 for trading companies, confirmed with you before we begin.
Fast turnaround
Our target is draft accounts within 24 hours of receiving complete records and answers.
Proactive about tax
We look for ways to cut your Corporation Tax, and you approve everything before we file.