Tory MP calls for Chancellor to consider single ‘property tax’ to stimulate market

first_imgHome » News » Housing Market » Tory MP calls for Chancellor to consider single ‘property tax’ to stimulate market previous nextHousing MarketTory MP calls for Chancellor to consider single ‘property tax’ to stimulate marketJohn Stevenson says replacing Stamp Duty and Council Tax with a single annual property tax would free up hundreds of thousands of transactions.Nigel Lewis4th February 20213 Comments5,654 Views A leading conservative has called for both Stamp Duty and Council Tax to be abolished and replaced with a property tax based on a person’s home.It’s not a new idea – as a version of the same idea dubbed the ‘mansion tax’ (that just taxed upmarket homes) was proposed by the Lib Dems in 2015 and briefly embraced by the Prime Minister in February last year – but it reveals that key people within the party and government are looking at a way to unshackle the housing market including, reportedly, Rishi Sunak.John Stevenson (pictured), who is MP for Carlisle and a leading light in the party in the region, has argued on the Conservative Home website that property tax reform should be a key plank of the party’s attempt to ‘level up’ England.“Council Tax is based on property values from 1991 – 30 years out of date. That means that someone living in a house worth £100,000 pays around five times more tax as a share of property value than someone living in a home worth £1 million,” he says.More transactionsMore importantly for estate agents, Stevenson says that his proposal for a single property tax would free up hundreds of thousands of sales every year by removing a major cost in the home moving process – SDLT.“The current system is out of date, confusing, unpopular, unequal and most importantly unfair,” says Stevenson.“The Chancellor has acknowledged the need to make the system fairer and property taxes would be the ideal place to start.”“Stamp Duty is a property tax which is an attack on aspiration and ownership. By taxing property transactions, Stamp Duty discourages homeowners from moving.”Read his article in full.John Stevenson Rishi Sunak mansion tax property tax February 4, 2021Nigel Lewis3 commentsPossession Friend, Possession Friend Possession Friend 4th February 2021 at 10:39 pmIs Stevenson a Labour ‘plant’ ? – he certainly doesn’t represent the party of business( much like the rest of the Conservative party ! )Log in to ReplyColin Mackenzie, Colin Mackenzie Ltd Colin Mackenzie Ltd 4th February 2021 at 12:40 pmOh yes, please – lots of valuation work arguing with HMRC….. Really? Has Mr Stevenson not twigged why Council Tax valuations have not been updated – its because the process would cost a fortune (and the differential between bands would not alter). As if ‘son of mansion tax’ could be implemented without wide disparities between the valuations of apparently similar houses (one dilapidated, the other completely refurbished)?Log in to ReplySteven Heath, Property Consultant Developer Property Consultant Developer 4th February 2021 at 9:20 amAbolishing Council Tax and Stamp Duty yes but reforming the whole Tax system to a Flat Tax of 10% on everything Gross income , no allowances , VAT , no accountants needed , a very simple Tax system , no black cash economy by making Tax Low people wouldn’t need to try and dodge the Tax and penalties would be very high so not worth it .Log in to ReplyWhat’s your opinion? Cancel replyYou must be logged in to post a comment.Please note: This is a site for professional discussion. Comments will carry your full name and company.This site uses Akismet to reduce spam. Learn how your comment data is processed.Related articles BREAKING: Evictions paperwork must now include ‘breathing space’ scheme details30th April 2021 City dwellers most satisfied with where they live30th April 2021 Hong Kong remains most expensive city to rent with London in 4th place30th April 2021last_img