Stamp duty reprieve for landlords expanding portfolio...

Landlords currently buying properties and concerned they may not make the March 31 stamp duty holiday deadline have good news - there’s likely to be an extension.

The Times has an exclusive that Chancellor Rishi Sunak will extend the tax break until the end of June in order to avoid as many as 100,000 purchasers - thousands of them landlords - missing out on the exemption because of slow transaction processes.

The formal announcement will come on Wednesday in the Chancellor’s Budget.

What isn't clear yet is whether the extension is three months for all current and new buyers of properties up to £500,000 - thus creating a new cliff edge - or a 'tapered' extension only for current buyers.

The furlough scheme and the business rates holiday for retail, hospitality and leisure sector will also reportedly be extended, along with the VAT cut for hospitality and tourism.

The Times article also suggests the Chancellor will commit to raising Corporation Tax over the duration of the current Parliament, which still has almost four years to run. The increase could ultimately be from a current 19 per cent to an eventual 25 per cent.

No mention is made in the article about Capital Gains Tax, which has been the subject of speculation in recent weeks following an Office of Tax Simplification report last year urging increases to bring it more into line with income tax - this is a critical issue for landlords seeking to maximise profits when selling their properties.

Want to comment on this story? Our focus is on providing a platform for you to share your insights and views and we welcome contributions.
If any post is considered to victimise, harass, degrade or intimidate an individual or group of individuals, then the post may be deleted and the individual immediately banned from posting in future.
Please help us by reporting comments you consider to be unduly offensive so we can review and take action if necessary. Thank you.