Would taxing property values be fairer than the Council Tax?

Generali

chewmylegoff wrote: »

You do have to pay council tax on a second home but councils can give you a discount if they want to. Many don't - eg Cornwall scrapped the discount and I think the max discount is now 50%.

Of course if you are the proud owner of a BVI company which owns a £25m London mansion and you just don't bother ringing the council to tell them who the occupant is...

Yes but if you let out 100 houses and keep one for yourself you only pay property taxes on the one place.

chewmylegoff

Generali wrote: »

Yes but if you let out 100 houses and keep one for yourself you only pay property taxes on the one place.

True, but then you are running a business so you pay income tax on the rental profit and CGT on the gain in value on disposal instead (or corporation tax on both if your business is incorporated) plus potentially some other taxes like HMO licensing fee.

Nikkster

Generali wrote: »

Yes but if you let out 100 houses and keep one for yourself you only pay property taxes on the one place.

But the tenants will be liable for the council tax (unless the 99 places are all HMOs), and they will be the ones mainly using the services provided by the local council. So the properties will still be generating some kind of income for the local council.