Gove closes tax loophole on second homes

[Martin@AS Financial]

I imagine that the residents of areas like Cornwall are delighted with this news as it will / should mean more money for the local area.

Full report here:

https://www.gov.uk/government/news/g...n-second-homes

[eek]

I imagine that the residents of areas like Cornwall are delighted with this news as it will / should mean more money for the local area.

Full report here:

https://www.gov.uk/government/news/g...n-second-homes

No he hasn't he's reduced the rules by 50%

It used to be available 210 days and let for 105 days - now its available 140 days and 70 days let see HS253 Furnished holiday lettings (2018) - GOV.UK (www.gov.uk)

[OwlHoot]

That's strange - I thought business council tax rates were far more than domestic council tax

[mattster]

That's strange - I thought business council tax rates were far more than domestic council tax

Holiday lets often/usually qualify for small business rate relief which means they don't pay any rates at all. Total scam, and that's before we get on to the grants they were given over Covid. No wonder locals get the hump.

[d000hg]

Holiday lets often/usually qualify for small business rate relief which means they don't pay any rates at all. Total scam, and that's before we get on to the grants they were given over Covid. No wonder locals get the hump.

Only if they are owned/run by a business, surely? And if you run your BTL through a business you could probably have got the £10k grant also?

[mattster]

Only if they are owned/run by a business, surely? And if you run your BTL through a business you could probably have got the £10k grant also?

I believe the "loophole" that they are trying to close is something along the lines of you only used to need to "offer" your house for rent, and then only for a certain number of days per year. So of course a lot of people did it (on paper), took the rate rebate and then never or rarely rented it out. Now I believe it actually has to be rented out for a certain number of days but I can't be bothered to Google it for details. It was a rort, pure and simple, and a lot of people ended up paying no council tax for years, and also accepting Covid grants, for what were in effect second homes and not businesses at all.

[ladymuck]

Only if they are owned/run by a business, surely? And if you run your BTL through a business you could probably have got the £10k grant also?

It's easy to set up a 'business', you don't have to incorporate...