Should CGT for "principal private residences" be introduced?

blueboy43

Mr_Mumble wrote: »

Obviously CGT on principal residences shouldn't be introduced retrospectively. Say, any gain from purchases (and elections for change of principal residence) made after April 5th 2011 should be taxed when sold. Would you be in favour of such a proposal and what would it do to the value of British homes going forward?

The problem with this seems to be the multiple 'reliefs' that we will end up with.

CGT and tax credits are the worst parts of the tax regime because of multiple changes, complexity and high marginal tax rates for tax credits.

I'd prefer a simple annual property tax, that is a flat % rate and would largely replace council tax.

antrobus

Malcolm. wrote: »

Ultimately, property is one of the few things which the government can prevent being 'offshored' for tax liability. It's therefore a good target.

Sadly no. Placing the ownership of a property in an offshore company is a fairly trivial process. People already do it to avoid stamp duty.