Whether you’re planning to start out in property or an existing landlord, keeping up to date with rule changes around property transactions is imperative.
Here’s five rules impacted by recent changes to consider:
- An extra 2% Stamp Duty Land Tax (SDLT) surcharge now applies if you’re purchasing a residential property in England and Northern Ireland but you’re not a UK resident. Find out more about this here.
- A 3% SDLT surcharge will usually apply on top of the normal rate if an individual is purchasing a residential property that results in them owning more than one property. The surcharge for companies and trusts will apply on the purchase of the first property.
- For residential property sales you have 30 days to pay capital gains tax (CGT) and submit the tax return.
- There has been a reduction of Principal Private Residential Relief, with the last 18 months of ownership previously exempt from CGT now reduced to nine months.
- Lettings Relief has ceased which previously provided up to £40,000 of relief against CGT, or £80,000 for joint owners, of a property once used as their main residence.
If you’re a landlord and would like to discuss any of these rule changes, get in touch with our Private Client Services team on 01788 539000 or 0116 261 0061.