Consulting Her Majesty’s Treasury on New Property Tax Bill – Property Industry Eye
Following a public consultation earlier this year, a bill for a new Residential Property Developers Tax (RPDT) was released by the UK Treasury.
The RPDT, which is to be included in the 2022 Finance Bill, is to be payable from 1 April 2022 by residential property developers on their UK residential property development profits that exceed an unspecified allowance, with the final tax design – including tax rate – to be announced in the Fall 2021 Budget.
The government first proposed the tax on residential real estate developers in an attempt to address growing concerns about the costs of repairing siding and the potential burden on tenants, and the details were eventually spelled out in a published bill. as part of an earlier technical public consultation. this week.
It is understood that a final political decision has yet to be made as to whether it will apply to developers of building for rent.
It is possible to comment on the details of the bill until October 15 and the government has produced explanatory notes. here is a link to both documents.
As part of the Autumn Budget of October 27, Chancellor Rishi Sunak will specify the final details, including the tax rate and specific allowances, which will be included in the 2021-2022 budget bill.