In the UK debated the introduction of a mansion tax is more expensive than £2 million

Apartment in London Luxury prestigious index W9 £1300000

In the UK, does not stop the discussion about the introduction of a tax on mansions. If such a tax yet to be introduced, it will primarily concern property in London and the South East of England, where about 86.2% of all properties worth more £2 million

The bill is a proposal to introduce this tax, so named because of the level of prices which it relates, was nominated four years ago and the result was neither encouraged nor rejected. Under the bill, first proposed by the liberal Democrats must set the annual tax on real estate is more expensive than £2 million at the rate of 1%. The proposal was supported by the labour party and it is estimated that each year, the state Treasury will receive an additional £1,7 billion to £2 billion.

Due to the fact that the bill is “hanging in the air”, in the field of real estate there is some uncertainty.

Analysts of elite real estate Knight Frank, however, result in more real income figures of £1.3 billion annually. Experts from Knight Frank estimates that in order for the budget increased the amount of £1,7 billion. in a year, you must reduce the threshold of taxable real estate up to £1.5 million, and possibly up to £1.25 million in addition, you need to consider the costs of tax administration to collect these funds.

Every tenth property is more expensive than £2 million , written from the point of view of taxation in the mansions is an apartment with one or two bedrooms.

If new tax legislation is adopted and not taken into account the rate of inflation (no indexation of threshold adjusted for inflation), then in the next 25 years, about 775500 real estate listings fall under taxation by a tax on mansions, including all the real estate cost is now £540000 and above.

This means that even those buyers that will fall under the program of the government “help to buy”, will pay mansion tax before they finished to pay under the terms of the mortgage.

The report also States that the bill involves a lot of exceptions and exemptions, however, in this part, the law is still very raw and crude. Benefits is quite wide, they will be provided to property owners – charitable organizations, social services, farms, as well as some companies who rent property to their employees.

® Helen Entree. 04.09.2013