Over half of the 2017 Finance Bill has been put on hold until after the UK general elections on 8th June.
On Tuesday, the Government published and debated a list of proposed amendments to the Finance Bill, which was set to be the longest of its kind in history. Of the 135 clauses, 72 were removed from the legislation.
Removed clauses included: a cut to the annual tax-free allowance on dividend income from £5,000 to £2,000; measures to charge inheritance tax on UK property held in offshore trusts; a move towards making tax digital for small business and self-employed workers; VAT in relation to fulfilment houses; and penalties for enablers of defeated tax avoidance schemes.
The Government has been urged to clarify the starting date of the measures by the Chartered Institute of Taxation.
David Lee, Head of Sales at Pastor Real Estate has commented: “The decision to delay portions of the Finance Bill is welcomed by many of our clients as a sensible decision, given its complexity and the anticipated impact on London in particular. However, we now await further clarity in relation to if the measures dropped will be reintroduced following the outcome of the general election in June.”
Pastor Real Estate continues to pay close attention to these amendments and proceedings. Our professional team of luxury real estate experts can offer support and answer any questions our clients may have on how the 2017 Finance Bill may affect them and their properties in the future.