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Landlordspaytax - Epetition Reply

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Here is the answer from downing street

Click

yeah, just got mine. Pff. One pathetic brush-off sentence of how OOs get a better deal than LLs, followed by a load of guff about FTBs/stamp duty (stealth tax)...not addressing the actual petition point at all.

Owner-occupiers already receive a more favourable tax treatment than those letting or renting residential property because individuals' principal private residences are not subject to income tax or corporation tax on rent returns or capital gains tax on housing sales. However, the Government keeps all taxes under constant review.

The Government recognises the difficulties faced by first time buyers and is acting in several ways to alleviate these pressures.

Firstly, in Budget 2005 the Government doubled the starting threshold for stamp duty to £120,000, thereby focusing support on first time buyers and those on low incomes. In Budget 2006 the Government raised the threshold again, to £125,000. As a result of these changes an additional 400,000 homebuyers per year will now pay no stamp duty. Currently, just over half of all first time buyers pay no stamp duty and, within all homebuyers, over eighty percent pay only the 1% rate or are exempted by the starting threshold.

Secondly, the Government's response to the independent Barker Review of Housing Supply, published alongside the Pre-Budget Report in 2004, set out how achieving the Government's aim to improve affordability for future generations of homebuyers will require housing supply to become much more responsive to demand. In the recent Housing Green Paper the Government raised its ambition for housing additions to 240,000 dwellings a year by 2016 up from the target of 200,000 set in 2005 and compared with around 185,000 now. This increase will be achieved through further planning reform and continued significant investment in the social, transport and environmental infrastructure necessary to support sustainable housing growth.

Finally, through measures set out in the Shared Equity Task Force Report - published at Pre-Budget Report 2006 - the Government expects 160,000 households to be helped into home ownership through private or public shared equity products by 2010, double its original estimate.

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Here is the answer from downing street

Click

"Owner-occupiers already receive a more favourable tax treatment than those letting or renting residential property because individuals' principal private residences are not subject to income tax or corporation tax on rent returns or capital gains tax on housing sales."

Didn't everybody already know this before the petition was set up?

Remind me again what was Paddington Bear often described as?

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I am now convinced that the govenment has deliberatly helped on HPI so they can rake in all the increased revenue in inheritance tax.

IHT is small potatoes when you consider the extra money that has been pumped into the system through mortgages/MEW etc

HPI is certainly the easiest way for them to print money. Only problem is that it has a certain lifespan. Hence the reason GB is looking for an election date shortly. Seeing cameron coming 3rd in the popularity polls, he may be tempted to call it as soon as the dust settles with NR.

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Owner-occupiers already receive a more favourable tax treatment than those letting or renting residential property because individuals' principal private residences are not subject to income tax or corporation tax on rent returns or capital gains tax on housing sales.

Didn't everybody already know this before the petition was set up? [JohnG]

Apparently not. There seem to be many people on this forum who don't appreciate the advantage of tax free imputed rent.

I guess the lesson from this petition is: 'Don't protest in something you don't understand'.

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Didn't everybody already know this before the petition was set up? [JohnG]

Apparently not. There seem to be many people on this forum who don't appreciate the advantage of tax free imputed rent.

I guess the lesson from this petition is: 'Don't protest in something you don't understand'.

like i said elsewhere - it's actually crap

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Didn't everybody already know this before the petition was set up? [JohnG]

Apparently not. There seem to be many people on this forum who don't appreciate the advantage of tax free imputed rent.

I guess the lesson from this petition is: 'Don't protest in something you don't understand'.

Nonsense. People understand very well that if they are renting against their will while speculators keep adding to their portfolios easily by borrowing against existing capital, that the balance is not right. Either the government maintains some balance through a sensible tax regime or the market will eventually balance it via a catastrophic property crash. Looks like the government have decided to leave it to the market. So be it.

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Nonsense. People understand very well that if they are renting against their will while speculators keep adding to their portfolios easily by borrowing against existing capital, that the balance is not right. Either the government maintains some balance through a sensible tax regime or the market will eventually balance it via a catastrophic property crash. Looks like the government have decided to leave it to the market. So be it.

the important thing is that it is in the sights of an institute of the IOD - on this basis it won't be long before it gets taxed properly

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I am now convinced that the govenment has deliberatly helped on HPI so they can rake in all the increased revenue in inheritance tax.

The MPs claim their mortgage costs. As HPI took hold, so they MEWed. Imagine what you can do with 0.5million being lent to you at no cost (well, ok the tax payer picks it up). A serious percentage of MPs are now mortgaged to the hilt at the tax payers expense. They will do anything they can to avoid going into negative equity...

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