Think about this before you guest host for 2010 tournament
People wanting to profit from the World Cup through their property to foreigners to let, need serious consideration. The taxman may take up to 40% of these windfalls. Then there’s not even mention the additional cost of insurance or provision for personal liability. According to Mr. David Warneke, tax partner at Cameron & Prentice in Cape Town, a rental agency insists on personal liability insurance of R50 million before the property can be let. “As a foreign visitor on your tiles slipping and hurting, claims began at the hospital costs and continue to psychological help.”
The income from rental to the South African Revenue Service declared. People at a marginal rate of 40% tax on their gross income, their own calculations as to whether the additional risks it worthwhile. “Knowing that all expenses incurred in earning that income is deductible, providing little comfort.” Those expenses include commissions to rental agents are paid, interest on the mortgage, electricity, water service fees or charges on verhuringstyd be paid. According to Warneke, even the cost of cleaning services.
A short-term insurer in Pretoria said they had not many inquiries about the 2010 not. There are some insurers that this gap in the market and are offering additional cover, including “comprehensive insurance on household contents” and “lone liability coverage. It is labeled as single coverage for 2010 and is in addition to homeowners and guest houses existing insurance.
Possibility Related Posts:
Posted in Liability Insurance | 
Tags: Mortgage, personal liability, personal liability insurance, property