The rules about holiday lets being valued for business rates instead of council tax could be strengthened in an attempt to close a tax loophole being exploited by the owners of second homes.
Property investors accused of squeezing the life out of picturesque Suffolk resort and distorting economy
Council plans tax crackdown as influx of part-timers is pricing out locals and younger people and threatening schools and services
Hammond’s 100% extra tax on vacant property dismissed as ‘joke’ unlikely to hit wealthy buyers or spur re-use of housing
According to thinktank the Resolution Foundation, the proportion of adults owning no property has also risen, leading to wealth inequality
Britons with a pied-à-terre in Paris are due to be hit with hefty new taxes as the Socialist-run city hall takes steps to try to resolve the city's chronic housing shortage.
The city council wants to stop foreign owners leaving their apartments empty for much of the year and hopes to coerce them into selling them off or putting them on the market for long-term rental.
Cornwall is one of the most deprived areas in western Europe, despite its luxury holiday homes – with house prices way beyond the reach of young locals. Now popular Cornish tourist destinations are rising up against the incomers
Globe-trotting oligarchs. Dodgy offshore companies. Wealthy weekenders and expensive rural cottages snapped up by hedge fund managers. There are plenty of people out there arguing that the problems in Britain’s housing market can be pinned on foreigners in London and on wealthy second-homers in the countryside.
Twice as many home owners in the UK support the new 3% stamp duty surcharge on additional homes as oppose it, despite loud opposition from landlord groups, new research shows.
Some 47% support the extra charge which was introduced on second homes and buy to let properties on 01 April while 18% are against it and believe that it supports first time buyers.
The results of the poll, conducted by YouGov for the HomeOwners Alliance and BLP Insurance shows that overall concerns about stamp duty have fallen dramatically since the reforms in 2014.
Stamp duty changes made by the chancellor George Osborne have led to a 12.1pc decline in revenue during the first ten months of last year, according to new research.
An over reliance on stamp duty from London and a decline in property transactions there has created a £620m deficit between January and October 2015, compared with the same period the year before, according to estate agency Knight Frank.
The changes, which came into effect in December 2014, created a progressive stamp duty and led to rate hikes for houses worth more than £937,000.
The UK property market is facing a slowdown in buy to let activity due to tax changes for private landlords, says a submission to the Treasury over the extra surcharge on second properties.
The Council of Mortgage Lenders is urging reform of the plans to charge an extra 3% for buy to let landlords and second home buyers from April this year to mitigate potentially negative impacts on the housing market as a whole.
It says in its submission that even without the new surcharge, the forthcoming adverse tax changes for private landlords and the potential macro prudential interventions in the buy to let market will result in a slowdown.
The new 3% surcharge on second homes in the UK is dangerously flawed and it could harm the very homeowner that the government wants to help, it is claimed.
According to the Home Owners Alliance, a consumer group for home owners, said that while the surcharge is welcome in principle, the way it is going to work is not helpful due to a number of situations which have not been taken into account.
In its response to the proposed change due to take effect from 01 April, the HOA says it is so overly complex and flawed that it will lead to massive unintended consequences.
There are calls in Scotland for further details on the extra 3% stamp duty tax to be made public as the introduction of the additional rates on top of LBTT is creating confusion.
Towards the end of last year Scottish Finance Minister John Swinney announced as part of the Scottish budget that second homes, including buy to let, would face an additional 3% levy on top of the Land and Buildings Transaction Tax from April 2016.
A firm of tax accountants has warned that purchasers of second homes and buy-to-let properties who exchange on properties over the next few weeks in order to beat the 3% Stamp Duty surcharge are doing so with their eyes shut.
Separately, an estate agent said that purchasers in a hurry could be buying at a premium, while yesterday conveyancers said they anticipated a particularly pressurised first quarter to the year.
The final details of how the extra stamp duty on buy to let and second home purchases will work will not be known until a couple of weeks before the new tax rate comes into effect in April this year.
The government’s consultation period on the proposal for a 3% tax on these kind of property transactions runs until 01 February and officials will then consider the responses and are expected to confirm the final details on the annual Budget announcement on 16 March.
The Scottish finance minister John Swinney is to introduce a three per cent surcharge on the full purchase price above £40,000 of all ‘additional properties' - buy to let and holiday homes - from April 1.
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