SIPP Case Study:

Scenario:

Mr B is 47 and married with two children. He has worked in the media industry most of his working life as a self-employed consultant. He has built up circa £600,000 in SIPPs with two leading investment platform providers. He is a joint beneficiary of his mother’s estate part of which consists of a plot of land that is currently used for agricultural purposes. An opportunity has arisen for him to purchase the plot of land which potentially could benefit from planning for residential use in the future.

Mr B approached his current SIPP providers neither of whom would allow the land purchase. Barry sought our advice on this matter.

Recommended Solution:

We researched the market for a specialist SIPP property provider and made recommendations and implemented the solution.

Benefits:

Mr B was able to benefit as follows from the advice provided:

• Receive tax free rent for the land into the SIPP.
  
• In-specie transfer of existing investments onto a suitable platform through the new SIPP.
  
• When planning is obtained the land can be sold free of Capital Gains Tax.
  
• Tax free accumulation of growth within the SIPP.
  
• Up to 25% Tax Free Cash available from the SIPP.
  
• Further ability to make in-specie transfers into the schemes as and when required.
  
• The assets in the SIPP can be passed on to beneficiaries free of Inheritance Tax.