Hallidays Tax Director, Philip Eagle has added further comments about the Autumn Statement:
Stamp Duty
From 6th April 2016 the stamp duty on buy to let properties and second homes will have a 3% premium on the purchase price. This means the stamp duty on a £250,000 property will increase from £2,500 to £10,000.
There will be concessions – for example the stamp duty premium paid for a property sold within 18 months of purchase can be reclaimed.
Buy to let owners are currently considering how to deal with the March 2015 budget restriction on finance costs for buy to let properties. The suggestion of incorporating their portfolios now looks less attractive (unless they have more than 15 properties).
There will inevitably be a rush to complete property transactions before 5th April 2016 to avoid the new rules.
VAT and 6th Form Colleges
Sixth-form colleges will be allowed to convert to academy status or join a multi-academy trust. This will allow non local authority colleges to recover their input VAT.
If you would like further information about why Hallidays are well placed to guide colleges through the challenges of converting to an academy please read our webpage.
If you would like any further advice or support, please contact Hallidays on 0161 476 8276 or email hello@hallidays.co.uk.