Landlord Reactions To The 2018 Autumn BudgetMake Text Bigger
The key headlines affecting UK landlords are:-
The Nil Rate Band Personal Tax Allowance will increase from £11,850 to £12,500 and the High Rate tax threshold will increase to £50,000. These figures were announced in previous Budget’s as targets for 2020. These increases will now become effective from April 2019, a year earlier than expected.
The Chancellor said Lettings relief will be limited to properties where the owner is in shared occupancy with the tenant. That makes no sense, because owner occupiers do not pay CGT anyway. We await further clarification on this, because the BBC website has simply repeated the Chancellors announcements, which are clearly flawed.
From 2020 PPR relief will only extend to 9 months following the letting of a property (currently 18 months)
There was no reversal of Section 24 mortgage interest relief restrictions or of the 3% Stamp duty surcharge for second homes.
Incorporation relief under TCGA92/S162 was unchanged and is still available to landlords, together with reliefs on Stamp Duty for partnership incorporation. Calls to extend the Stamp Duty relief on incorporation of businesses by sole owners were not acted upon.Show Form To Book A Tax Planning Consultation
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