Autumn Statement 2015

This year’s Autumn Statement was rather overshadowed by the Spending Review, having already had two Budgets in 2015, the Chancellor apparently had little left to say from a tax perspective.

Some of the measures announced affect all property transactions such as: reducing the Stamp Duty Land Tax (SDLT) payment window from 30 to 14 days and Capital Gains Tax payment date to 30 days post transaction. Others will have a particular impact on the Private Landlord: cap in Housing Benefit, the introduction of an additional 3% SDLT on second homes and buy to lets, in addition to the previously announced restriction on tax relief for interest payments which will all squeeze profit margins.

Local Authorities retaining the proceeds from sale of assets, a promise to ease planning restrictions together with a simplification of section 106 processes are intended to encourage new builds. We can be under no doubt the Chancellor’s intention is to increase private property ownership; only time will tell whether the measures introduced prove to be effective.

  • Small rate business relief has been extended for one year
  • Government to invest an additional £800 million to counteract tax avoidance
  • RTI penalties go live from April 2016
  • The 3% benefit in kind supplement for diesel company cars has been extended until 2021
  • The review of deeds of variation tax rules has been abandoned
  • Councils will have the power to increase Council Tax by 2% to fund social care
  • It has been confirmed that corporation tax will go down to 18% as previously announced
  • HMRC aim to introduce digital tax accounts (replacing tax returns) by the end of parliament

 


 

This briefing aims to provide an awareness of the topic. It is not intended to constitute advice. No liability is accepted for any omission or inaccuracy. We strongly recommend you always seek our specific advice in relation to each scenario.