⚠️ New Tax Alert! Rachel Reeves is eyeing a new property tax targeting high-value homes to bridge a £40 billion gap in public finances. Dubbed the ‘mansion tax’, this move might shock many, especially pensioners hoping to downsize. 🏡💸
🔍 Here’s what’s stirring: Ending capital gains tax exemptions for selling high-value properties could mean:
– Higher-rate taxpayers might face a 24% tax on profits.
– Basic-rate taxpayers could see an 18% tax.
This tax isn’t just for those living in London mansions! Experts warn that even homes worth over £1.5 million across the UK could be hit. Imagine the ripple effects: 🏘️ Fewer large family homes hitting the market, potential price stagnation, and possibly fewer options for first-time buyers.
Is this the right move? Experts like Aneisha Beveridge from Hamptons and Simon Brown from Landmark Information Group worry this could deter people from selling their homes, leading to a sluggish property market. 📉
Meanwhile, Rightmove suggests that over 10% of London homes and 1.6% outside the capital could be affected if a £1.5 million threshold is established. 🏢
But here’s the political twist: PM Keir Starmer ruled out any capital gains tax on family homes just last year. Labour even dismissed it as a “bad idea.” So what gives? 🤔
What are your thoughts on this proposed tax? Could it really help the economy, or is it a downside for pensioners and homeowners? Drop your comments below! 👇✍️