Done right, s162 Incorporation Relief can defer the whole gain. Tell us about your portfolio and we'll check whether you qualify before you move anything.
Moving your rental properties into a limited company can be a smart long-term move — full mortgage interest relief, lower tax on retained profit, and easier succession planning. But there is a catch that stops many landlords in their tracks: Capital Gains Tax (CGT).
The good news is that, where your lettings genuinely amount to a business, a relief called Incorporation Relief (section 162 TCGA 1992) can defer the entire gain so there is no immediate CGT to pay. This guide explains why CGT arises in the first place, the 2026/27 rates, how the relief works on real numbers, and the traps to avoid. It sits alongside our main property incorporation guide.
It feels like nothing has really changed — you owned the properties before, and you own the company that owns them now. But in tax law, you and your company are two separate "persons". Transferring a property from you to your company is a disposal, and CGT applies to disposals of residential property.