The thing that really confuses me is why incorporated landlords remain unaffected by the reduced tax relief of S24. Aren’t they the group with the most property, most highly leveraged, most likely to have tenants that in turn have their rent paid by the tax payer. Also this is the group that are likely to be most into HMOs, a bit like people farming and also where property once held as family homes is now ‘over occupied’ by tenants who have between them more cars than the local area can support parking wise. These landlords often seem to spend as little as they can on their ‘investment’. With many tenants having no stakehold in the house/area either many prime family housing areas are in decline.
So why are these incorporated landlords ‘untouched’ by the new tax changes?