7 Reasons to invest your pension in property

The Capital Gains Tax exemption closed on 31st December 2014 but for pension investors the window of opportunity is still open! All income and gains within pension schemes are exempt from income tax and capital gains tax so this means that the rental income is not subject to income tax nor will Capital Gains Tax be payable on the sale of the property. There are many reasons people are choosing to invest their pension in property but here is a list of the top 7:

  1. You can choose the property you wish to purchase.
  2. Both residential and commercial property can be acquired.
  3. You can use your own market knowledge and contacts to access unique opportunities.
  4. Income tax relief on employee and employer contributions remains at the higher rate of tax.
  5. On retirement, you can take 25 per cent of the value of the pension fund as a lump sum, of which €200,000 is tax free.
  6. You have control over every aspect of your pension affairs including all investment and contribution decisions.
  7. Borrowing can be utilised if available and the property fund can even be registered for VAT if required.

For more information:

 

 

*Please note this content is the view of the author and not of Independent Trustee Company


Join Our Mailing List