About Us Contact Us Site Map

Beware of tax traps

Market experts have advised investors in overseas property to consider potential tax pitfalls, in both the UK and their investment destination.

Nicolas Sarkozy, the new French president, is reportedly considering a change of the country's inheritance tax laws, to the benefit of foreign investors, with families of "average wealth" no longer required to cover these significant costs.

However, financial advisor Tony Shah told the Telegraph that it remains essential to ensure that wills written in English should be mirrored in the investment destination of choice, so as to guard against legal peculiarities.

Capital Gains Tax (CGT) should also play a substantial part in your considerations of overseas investment, said Leonie Kerswill of PricewaterhouseCoopers.

She told the newspaper: "People should remember that unless they're going to be far away for more than five complete tax years then any capital gains they make while they're away will still be liable to CGT back home."

The growing popularity of investment in foreign property can in some way be related to the rising cost of living in the UK.

A recent survey revealed that London is now the second most expensive city in the world.

Related items

Recent articles

Moroccan property 'flavour of the month'

Land prices in Bulgaria continue to rise

Land sales to foreigners to continue in Cape Verde

Czech Republic in the midst of construction boom

Other related pages

Bookmark with:	What are these?
DeliciousDiggredditFacebookStumbleUpon