Your plan unfortunately won't work and would be likely to unleash a lot of double taxation, trouble and unproductive cost on you and your company. You really need to engage a good accountant or tax advisor to avoid making an expensive mistake in the future.
Thanks, I haven't made the mistake as yet but was just sounding it out at the moment.
I'd certainly like to understand some specifics of what you mean by trouble and unproductive cost though?
I think it's just a simple decision as to whether I want that portion of my income to come to me directly or to go into my trading company - much in the same way as when you start as a freelancer/consultant to decide if incorporation is right for you or if opearting as a sole trader suits better. That decision is largely taken with tax planning in mind. It would also then help that I wold only ned to do tax returns for the company every year and not separate ones for me too.
Here, if the income comes directly to me, it will be taxed at 40%. If I asign the lease to the Company then the income is charged at 25% (I think).
So it makes sense up until this point.
The question then is, is it a waste of time and expense becuase if I want to get that income then it will be double taxed if I withdraw it? Or, can I take that extra 15% and put it into a pension, a self-directed pension for example. If that was possible, then I could be putting that 15% of the rental into the pension every month and it would definitely be worthwhile doing that in the long term.
I'm more than happy to accept if any of that is wrong but it would be helpful to know what I am missing.
And of course, while going to a good accountant or tax planner is always sage advice, that advice could be given to almost every question that comes up on this forum.