Reforms to lettings relief announced in the Budget will hit “accidental landlords” who have decided to rent out their home after failing to sell in a slowing market, property market experts said.
Philip Hammond, the chancellor, unveiled a series of proposed changes to property taxation in Monday’s Budget, with tweaks to the stamp duty land tax regime as well as a consultation on lettings relief.
Landlords who at some point lived in the property they rent out currently gain relief from capital gains tax when they sell it. The size of the relief is based on the period of time the landlord occupied the property, with an additional exemption given for the final 18 months of ownership.
