To ask Mr Chancellor of the Exchequer, if he will bring forward legislative proposals to prevent UK residents from registering the ownership of UK land overseas in order to avoid capital gains tax.
Answered on
26 February 2018
The government announced at Autumn Budget 2017 that with effect from April 2019 all gains on disposals of UK land will be within the charge to UK tax regardless of the residence of the owner, and that the charge will also apply where the disposal is made by selling UK land held in a company or trust. This builds on the action the government took in April 2015 to introduce a charge on non-residents’ gains on direct disposals of UK residential property.
These changes raise revenue and will more closely align the tax treatment of UK resident and non-UK resident owners of UK property.