Asked by: James Clappison (Conservative - Hertsmere)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, what account his Department has taken of mortgage liability in its assessment of liability for levy on higher value homes as part of its work preparatory to the possible introduction of such a tax.
Answered by David Gauke
The Government does not intend to introduce a new levy on higher value homes.
The number of residential properties in the UK valued at more than £2 million was estimated before Budget 2012 to be around 55,000. The Treasury does not have a precise regional breakdown of properties worth over £2 million.
Budget 2012 introduced a number of changes to high value property tax, including the introduction of the Annual Tax on Enveloped Dwellings (ATED), a tax on residential properties valued at more than £2 million owned through certain corporate ‘envelopes'.
Self-assessment was chosen for ATED. The cost of implementing ATED was set out in the Tax Information and Impact Note published alongside Budget 2013. http://www.hmrc.gov.uk/budget2013/tiin-1182.pdf
The cost of implementation of a new levy would be dependent on the nature of the tax.
As part of the introduction of ATED, a public consultation document was published and a variety of organisations responded. The response to the consultation can be found here: https://www.gov.uk/government/consultations/ensuring-the-fair-taxation-of-residential-property-transactions
When developing ATED, no account was taken of mortgage liability.
Asked by: James Clappison (Conservative - Hertsmere)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, what estimate has been made of the number of properties in each region liable for a possible levy on higher value homes.
Answered by David Gauke
The Government does not intend to introduce a new levy on higher value homes.
The number of residential properties in the UK valued at more than £2 million was estimated before Budget 2012 to be around 55,000. The Treasury does not have a precise regional breakdown of properties worth over £2 million.
Budget 2012 introduced a number of changes to high value property tax, including the introduction of the Annual Tax on Enveloped Dwellings (ATED), a tax on residential properties valued at more than £2 million owned through certain corporate ‘envelopes'.
Self-assessment was chosen for ATED. The cost of implementing ATED was set out in the Tax Information and Impact Note published alongside Budget 2013. http://www.hmrc.gov.uk/budget2013/tiin-1182.pdf
The cost of implementation of a new levy would be dependent on the nature of the tax.
As part of the introduction of ATED, a public consultation document was published and a variety of organisations responded. The response to the consultation can be found here: https://www.gov.uk/government/consultations/ensuring-the-fair-taxation-of-residential-property-transactions
When developing ATED, no account was taken of mortgage liability.
Asked by: James Clappison (Conservative - Hertsmere)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, what work has been carried out by his Department's officials on the possible introduction of a levy on higher value homes; what starting points for liability in the value of properties have been considered in the course of any such work; and if he will publish that work.
Answered by David Gauke
The Government does not intend to introduce a new levy on higher value homes.
The number of residential properties in the UK valued at more than £2 million was estimated before Budget 2012 to be around 55,000. The Treasury does not have a precise regional breakdown of properties worth over £2 million.
Budget 2012 introduced a number of changes to high value property tax, including the introduction of the Annual Tax on Enveloped Dwellings (ATED), a tax on residential properties valued at more than £2 million owned through certain corporate ‘envelopes'.
Self-assessment was chosen for ATED. The cost of implementing ATED was set out in the Tax Information and Impact Note published alongside Budget 2013. http://www.hmrc.gov.uk/budget2013/tiin-1182.pdf
The cost of implementation of a new levy would be dependent on the nature of the tax.
As part of the introduction of ATED, a public consultation document was published and a variety of organisations responded. The response to the consultation can be found here: https://www.gov.uk/government/consultations/ensuring-the-fair-taxation-of-residential-property-transactions
When developing ATED, no account was taken of mortgage liability.
Asked by: James Clappison (Conservative - Hertsmere)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, what methods of assessing liability for a levy on higher value homes have been considered by his Department in the course of preparatory work on the introduction of such a tax; whether individual valuation of properties has been considered in such work; and what estimate has been made of the cost of implementation of such a tax.
Answered by David Gauke
The Government does not intend to introduce a new levy on higher value homes.
The number of residential properties in the UK valued at more than £2 million was estimated before Budget 2012 to be around 55,000. The Treasury does not have a precise regional breakdown of properties worth over £2 million.
Budget 2012 introduced a number of changes to high value property tax, including the introduction of the Annual Tax on Enveloped Dwellings (ATED), a tax on residential properties valued at more than £2 million owned through certain corporate ‘envelopes'.
Self-assessment was chosen for ATED. The cost of implementing ATED was set out in the Tax Information and Impact Note published alongside Budget 2013. http://www.hmrc.gov.uk/budget2013/tiin-1182.pdf
The cost of implementation of a new levy would be dependent on the nature of the tax.
As part of the introduction of ATED, a public consultation document was published and a variety of organisations responded. The response to the consultation can be found here: https://www.gov.uk/government/consultations/ensuring-the-fair-taxation-of-residential-property-transactions
When developing ATED, no account was taken of mortgage liability.
Asked by: James Clappison (Conservative - Hertsmere)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, what consultations have been carried out with (a) valuers and (b) other organisations on the possible introduction of a levy on higher value homes.
Answered by David Gauke
The Government does not intend to introduce a new levy on higher value homes.
The number of residential properties in the UK valued at more than £2 million was estimated before Budget 2012 to be around 55,000. The Treasury does not have a precise regional breakdown of properties worth over £2 million.
Budget 2012 introduced a number of changes to high value property tax, including the introduction of the Annual Tax on Enveloped Dwellings (ATED), a tax on residential properties valued at more than £2 million owned through certain corporate ‘envelopes'.
Self-assessment was chosen for ATED. The cost of implementing ATED was set out in the Tax Information and Impact Note published alongside Budget 2013. http://www.hmrc.gov.uk/budget2013/tiin-1182.pdf
The cost of implementation of a new levy would be dependent on the nature of the tax.
As part of the introduction of ATED, a public consultation document was published and a variety of organisations responded. The response to the consultation can be found here: https://www.gov.uk/government/consultations/ensuring-the-fair-taxation-of-residential-property-transactions
When developing ATED, no account was taken of mortgage liability.
Asked by: James Clappison (Conservative - Hertsmere)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, what estimate has been made of the yield of a levy on higher value homes during the preparatory work carried out by his Department into the possible introduction of such a tax.
Answered by David Gauke
The Government does not intend to introduce a new levy on higher value homes.
The number of residential properties in the UK valued at more than £2 million was estimated before Budget 2012 to be around 55,000. The Treasury does not have a precise regional breakdown of properties worth over £2 million.
Budget 2012 introduced a number of changes to high value property tax, including the introduction of the Annual Tax on Enveloped Dwellings (ATED), a tax on residential properties valued at more than £2 million owned through certain corporate ‘envelopes'.
Self-assessment was chosen for ATED. The cost of implementing ATED was set out in the Tax Information and Impact Note published alongside Budget 2013. http://www.hmrc.gov.uk/budget2013/tiin-1182.pdf
The cost of implementation of a new levy would be dependent on the nature of the tax.
As part of the introduction of ATED, a public consultation document was published and a variety of organisations responded. The response to the consultation can be found here: https://www.gov.uk/government/consultations/ensuring-the-fair-taxation-of-residential-property-transactions
When developing ATED, no account was taken of mortgage liability.