As a static asset, property presents an easy target for taxation.Nick Barnes, Head of Research
The Labour Party is reportedly considering a new secret tax on the high street to try to boost ailing town centres across the UK if it wins next year's General Election. An advisory group created by Labour to consider the future of the high street has recommended that it looks at introducing a new levy on residents to fund a major expansion of Business Improvement Districts, which manage local areas. So far, no further details have been made available.
Meanwhile, there is still no word from the Government on the final rules and charges which will apply when Capital Gains Tax is extended to include non-resident owners of UK residential property. Time is running out as the tax is due to be introduced in April 2015, although we understand that it will not be retrospectively applied – i.e. only gains made after April 2015 will be chargeable.
NB comment: As a static asset, property presents an easy target for taxation, especially for a Government desperately
looking for ways to generate additional revenue. The Mansion Tax is really just a form of Council Tax with a deliberately
provocative label designed to engender popularity with the general public. Why not go the whole hog and revamp the
existing Council tax system with up to date base valuations and then consider additional bands for the super high end