Abdul Choudhury

Registered with Property118.com
Saturday 25th July 2015


Latest Comments

Total Number of Property118 Comments: 7

Abdul Choudhury

10:32 AM, 8th July 2016, About 5 years ago

Summer Budget 2015 - Landlords Reactions

Reply to the comment left by "Neil Patterson" at "08/12/2012 - 14:50":

BLT tax changes is a tax fraud on landlords

Sometimes a situation is better understood if the position is considered in the reverse or from a different angle. Let me explain what I mean. Just suppose a landlord 's annual mortgage interest on his portfolio is £25000 per year which leaves him with a handsome taxable profit at the end. And just suppose that instead of claiming his actual mortgage costs of £25000 he had put a completely false amount of say £100000 on his tax return which left him without any taxable profit and thus no tax liability. What do you think will happen to that landlord if HMRC found out? We all know the answer; the HMRC would show no mercy, he would be fined, prosecuted and sent to jail for tax evasion and tax fraud.

The recent BTL tax changes means that the Government/HMRC would be acting exactly in the same manner as the hypothetical landlord above. The HMRC would be taxing people on the basis of completely fictitious and non-existent profits. This in my opinion amounts to a tax fraud by the Government/HMRC on landlords. However since this rule is now enshrined in an Act of Parliament the best way to describe the new measures is to call it a "legalized tax fraud by her Majesty's Government and Her Majesty's Revenue and Customs".... Read More

Abdul Choudhury

10:29 AM, 8th July 2016, About 5 years ago

Summer Budget 2015 - Landlords Reactions

BLT tax changes is a tax fraud on landlords

Sometimes a situation is better understood if the position is considered in the reverse or from a different angle. Let me explain what I mean. Just suppose a landlord 's annual mortgage interest on his portfolio is £25000 per year which leaves him with a handsome taxable profit at the end. And just suppose that instead of claiming his actual mortgage costs of £25000 he had put a completely false amount of say £100000 on his tax return which left him without any taxable profit and thus no tax liability. What do you think will happen to that landlord if HMRC found out? We all know the answer; the HMRC would show no mercy, he would be fined, prosecuted and sent to jail for tax evasion and tax fraud.

The recent BTL tax changes means that the Government/HMRC would be acting exactly in the same manner as the hypothetical landlord above. The HMRC would be taxing people on the basis of completely fictitious and non-existent profits. This in my opinion amounts to a tax fraud by the Government/HMRC on landlords. However since this rule is now enshrined in an Act of Parliament the best way to describe the new measures is to call it a "legalized tax fraud by her Majesty's Government and Her Majesty's Revenue and Customs".... Read More

Abdul Choudhury

11:30 AM, 25th June 2016, About 5 years ago

SDLT on incorporation

Reply to the comment left by "Adam Withford" at "25/06/2016 - 09:56":

What you have suggested is very interesting. Are you saying that a beneficial transfer of ownership is not a "transfer" for the purposes of SDLT and thus I could avoid SDLT altogether if I beneficially transferred my whole portfolio into a Ltd Co from sole ownership? If so this would be the perfect solution.
However I am a bit surprised why none of the tax advisers I have seen have not suggested this to me and whether there is a good reason for that such as falling foul of the GAAR provision.

Is this something that you have done successfully? If so I would be interested to learn from your experience.... Read More

Abdul Choudhury

16:04 PM, 2nd January 2016, About 6 years ago

Judicial Review - Landlord Tax Grab

Dear Mark

Clause 24 is enshrined in primary legislation and challenging it under general common law or human rights law principles I believe will have little prospect of success because of the concept of "Parliamentary Sovereignty".
I believe we stand a better chance of success by challenging it under Article 107 EU State Aid Law. Clause 24 is selective and discriminatory and appears to fall foul of Article 107. This is an area where the European Commission and the Courts have significant powers to override national legislation as well as national tax policies.
The Commission has overall say in all state aid matters and has the power to launch investigations against national governments in respect of policies which may affect free trade.

In the light of the above I hope the following matters will be considered regarding the forthcoming legal challenge to Clause 24.

1. The firm of lawyers dealing with the action for judicial review must not only have expertise in judicial review/administrative law matters but must also have significant expertise in EU State Aid law.

2. In addition to judicial review I believe we ought to make a formal complaint to the European Commission and ask it to investigate the Government for a breach of Article 107.... Read More

Abdul Choudhury

14:12 PM, 28th August 2015, About 6 years ago

Landlords Say No to George and his Alice in Wonderland Tax

This is comparable to Robert Mugabe's land grab in Zimbabwe.... Read More