Tax Liability Settled via Second Charge on Investment Property in Manchester
£245,000 · 7 months · 1.08% pm. A property investor received an unexpected HMRC demand for £245,000 relating to a Capital Gains Tax dispute.
The Client
Property investor
The Challenge
A property investor received an unexpected HMRC demand for £245,000 relating to a Capital Gains Tax dispute. With the payment deadline looming, he needed to raise funds quickly without selling any of his portfolio or disturbing his existing mortgages.
Our Solution
Doulton placed a second charge bridge behind the existing BTL mortgage on one of the investor's Manchester properties. The legal and valuation process was expedited given the time-sensitive nature of the HMRC deadline.
The Outcome
HMRC liability settled on time, avoiding penalties. The investor resolved the underlying dispute with HMRC over the following months and repaid the bridge from freed-up liquidity. Key highlights: HMRC deadline met - penalties avoided; Portfolio undisturbed - no forced sales; Expedited legal and valuation process.