November 28, 2020

Landlords and second-home owners targeted in capital gains tax reform – The Times

https://www.thetimes.co.uk/article/landlords-and-second-home-owners-targeted-in-capital-gains-tax-reform-btr6xnqjt

Landlords, small business owners, investors and those with second homes face paying tens of thousands of pounds more in tax after a review ordered by the chancellor.

Rishi Sunak is considering proposals by the Office of Tax Simplification (OTS), a Treasury-based body, to reform capital gains tax to help pay for the pandemic. The move has the potential to bring billions of pounds more revenue into the Treasury.

The tax is paid on the profits gained from selling personal possessions worth more than £6,000, including second homes, rental properties, company shares and business assets. Cars and main homes are exempt.

Proposals include aligning rates with much higher income tax levels and lowering the threshold for paying the tax, as well as making it payable when