Financial Secretary to the Treasury, David Gauke MP, has recently responded to the RLA calls for Government to reconsider the changes in taxation for private landlords set to come into force in April 2017. The Treasury remain steadfast in their proposals despite growing pressure across the sector.
The document was sent to Chancellor of the Exchequer George Osborne and MPs that have an interest in housing. The document stressed that landlords relied upon tax relief on mortgage payments to be able to conduct their business.
In the response, MP David Gauke stated a desire for ‘a fair tax system.’
“That means ensuring that landlords with the largest incomes no longer receive the most generous tax treatment. By restricting finance costs relief available to the basic rate of income tax all finance costs incurred by individual landlords will be treated by the same tax system”.
The RLA is obviously disappointed with the reply and stance of Government and will continue to lobby to ensure landlord voices are heard. In the meantime consider writing your local MP to emphasise the importance of these proposals.
You can get further advice, and get links to write to your MP on the following story: Campaigning toolkit launched for landlords to tackle taxation losses.