TaxPersonal TaxBrown urged to ditch homeowners CGT cut

Brown urged to ditch homeowners CGT cut

Move 'will lead to frenzy of speculation'

Cutting capital gains tax on second homes will worsen the housing crisis in
the countryside, the Prime Minister’s adviser on rural affairs warned today.

Stuart
Burgess
, the Government’s Rural Advocate, told
the
Times
he believes the Chancellor Gordon Brown should cancel the CGT
reduction which is due to come into force next month.

He says the move will cause a frenzy of speculation as owners of second homes
– many of them MPs – will rush to capitalise on the cut, making it even more
difficult for first-time buyers and young families to get on the property
ladder.

The move for lower taxes is curious, says the Times, as a separate review is
examining whether councils in beauty spots should be able to prevent houses
being sold as second or holiday homes.

If the tax cut goes ahead, second-home owners will pay just 18% on the sale
of their homes instead of the standard 40% rate.

Further reading:

The
Times article

Stuart
Burgess

Related Articles

LITRG urges government to consider tax changes in disability work plan

Administration LITRG urges government to consider tax changes in disability work plan

17h Lucy Skoulding, Reporter
HMRC appeal rejected in Tottenham Hotspur case

Administration HMRC appeal rejected in Tottenham Hotspur case

2w Emma Smith, Managing Editor
HMRC urged to clarify impact of income allowances on Self-Assessments

Personal Tax HMRC urged to clarify impact of income allowances on Self-Assessments

2m Alia Shoaib, Reporter
New trading allowance: simplicity, but not as we know it

Administration New trading allowance: simplicity, but not as we know it

2m Emma Rawson, ATT Technical Officer
Wealthy individuals could circumvent top tax rate rises

Personal Tax Wealthy individuals could circumvent top tax rate rises

4m Alia Shoaib, Reporter
Italy grants first successful non-dom status application to former UK non-dom

Personal Tax Italy grants first successful non-dom status application to former UK non-dom

4m Emma Smith, Managing Editor
Industry reaction: Taylor Review does not go far enough in addressing tax issues

Legal Industry reaction: Taylor Review does not go far enough in addressing tax issues

5m Alia Shoaib, Reporter
Does the Taylor Review sufficiently address the gig economy?

Corporate Tax Does the Taylor Review sufficiently address the gig economy?

5m Alia Shoaib, Reporter