There's an old saying in wealth management; "Don't let the tax tail wag the investment dog", which means that you should not make an investment decision based solely on the tax efficiency of the investment.
Investment decisions need to be based on individual needs, circumstances, attitude to risk and time horizon. Once investments are made, the next task is to make them tax-efficient by holding them in a suitable tax wrapper, such as an ISA or a pension.
When it comes to investing in property, most of us think of buy-to-let or corporate property funds, but experts say that your own home is one of the most tax-efficient savings vehicles available.Last week the Institute for Fiscal Studies released a report on the effect of taxes and charges on a variety of forms of saving. “Investment in owner-occupied housing is significantly more tax-advantaged than investment in property to let,” it said.