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Guardian: 2nd Homes A Problem In Britain - Tax Hikes Coming

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http://money.guardian.co.uk/houseprices/st...1755787,00.html

Second home owners may face new tax

Paul Lewis

Tuesday April 18, 2006

The Guardian

The government is examining proposals for a change in council tax law for Britain's 328,000 second home owners. A change in the categorisation of council tax charges could see second homes being taxed at a higher rate than first homes.
The idea, designed to curb rising house prices and a shortage in affordable housing in rural areas,
is being considered by the Affordable Rural Housing Commission, which will report next month.

A pre-election ***** of the conscience?

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A pre-election ***** of the conscience?

Consciense is hardly likely to worry NuLab. More like Gordon Brown needs to raise more taxes and 'home owners' are sitting ducks.

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Call me stupid, but don't most 2nd home owners who let their 2nd home leave the tennant to pay the council tax?

i certanly do, but I presume this refers to second homes that are not let out to tenants

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i certanly do, but I presume this refers to second homes that are not let out to tenants

Anybody else see the glaring flaw in this?

Unworkable. They'll just say their idle son/daughter lives there.

Much better plan to change the squatting laws for second homes. Push the removal of local squatters from second homes down the police priority list - far below ejecting travellers from the company car park.

It may be utter nonsense - but it is more likely to happen.

More Post-It-Note policy from Nu10.

btp

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i certanly do, but I presume this refers to second homes that are not let out to tenants

Correct it does.

This idea has come 3 years to late...... I have said this for years, if they had done this sooner we would not be in a situation of pumped up prices due to city dwellers wanting weekend retreats, Aldeburgh in Suffolk is a prime example, Town is totally dead in the winter, and locals cannot afford the houses. Answer, they plan to build affordable houses outside the town.

If this government actually does treble tax on 2nd Homes, it will be the best thing they've done since taking power.

Bring it on

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Government say 8% of population own a 2nd home

The government is examining proposals for a change in council tax law for Britain's 328,000 second home owners

So:

0.08 x pop_uk = 328,000

pop_uk = 328,000 / 0.08 = 4,100,000

Did I get something wrong here?

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If this government actually does treble tax on 2nd Homes, it will be the best thing they've done since taking power.

Bring it on

I am reasonably left wing and have no problem with high taxes on luxuries. Cars with 2.5L plus engines, caviar, 2nd homes, jewelry etc.

BUT BUT BUT... how easy would it be to avoid (eg idle son "living there" etc. as someone said) It would only work if they actually checked (and therefore had rights to enter the house).

The other alternative is that all council tax bills should be addressed to the registered owner of the property. If you have a tenant who is liable for council tax not you, then you forward the lease to the council (who forward it to the inland revenue when they have dealt with it). If you own 2 properties, and neither are tenanted then the one with the highest value is charged at 3 x normal council tax unless you can prove you are living primarily in the bigger one. Any rents below market value should be investigated as council tax / income tax fraud.

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BUT BUT BUT... how easy would it be to avoid (eg idle son "living there" etc. as someone said) It would only work if they actually checked (and therefore had rights to enter the house).

I'm sure some people would avoid it. As long as it's a small minority it shouldn't matter.

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So:

0.08 x pop_uk = 328,000

pop_uk = 328,000 / 0.08 = 4,100,000

Did I get something wrong here?

If you didn't do your calc wrong?, there is the Million plus homes so-called required by government advises to meet housing demand.

what a joke

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If you didn't do your calc wrong?, there is the Million plus homes so-called required by government advises to meet housing demand.

what a joke

ie, you mean:

60,000,000 * 0.08 = 4,800,000 (eight percent of the population), and...

Government say 8% of population own a 2nd home

Five million second homes! Can't be right.

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ie, you mean:

60,000,000 * 0.08 = 4,800,000 (eight percent of the population), and...

Five million second homes! Can't be right.

unless they count all properties owned for business purposes (BTL) as second homes?

that would be pretty stupid, like saying the owner of a small van hire company has 20 vehicles per adult in his household.

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BUT BUT BUT... how easy would it be to avoid (eg idle son "living there" etc. as someone said) It would only work if they actually checked (and therefore had rights to enter the house).

Wouldn't it be quite difficult to pretend to live somewhere. All the addresses for banks, credit cards, etc. would have to go to the second house, and not elsewhere. Add on big fines for falsely declaring a residence, and perhaps a bit of surveillence as they do for benefit cheats, and it's not as easy as you suggest. And I don't think it would require them to enter the house.

Billy Shears

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ie, you mean:

60,000,000 * 0.08 = 4,800,000 (eight percent of the population), and...

Five million second homes! Can't be right.

I wonder if some of them are undeclared BTLs?

frugalista

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  • 302 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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