Would you invest in a Forest? Reply


Did you know that there are considerable tax advantages

  • The income and profits from timber sales in woodlands managed commercially are free from both Income and Corporation Tax.
  • The gain in value of standing timber, whether from the physical growth of the trees or rises in timber prices, is entirely free from tax.
  • The entire value of commercial woodland, including both the land and the trees, attracts Business Property Relief, currently at 100%, once it has been owned for two years. Provided this condition is met, there is no Inheritance Tax liability.

http://www.upm-tilhill.com/file-bank/Taxation%20Leaflet%2011%20V2.pdf

Its ethical and sustainable. It even has good returns for example http://www.forestryinvestments.co.uk/ claim that they are suitable for SIPPs and claim to have a 22% IRR return.

In a Moneywise article they say returns have been around 19% but in the long term 5% is more realistic

http://www.moneywise.co.uk/investing/investment-guides/the-pros-and-cons-forestry-investing

steve@bicknells.net

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