Are you sure you want to delete your account?
You have indicated you do not agree to our terms of use, do you wish to delete your account?
Why not sign up?

You will also be registered for the agent to contact you via other means you provide, with information relevant to your property search.

There was an error creating your account, please try again. If the problem persists, please contact us and we will investigate.
Password does not match
How would you like to be contacted?

Apr 12 2019

What is changing with the new tax year?

As 2018-19 is now in the rear-view mirror, changes are coming for the new tax year. There's some good news for most people – as the lower threshold for income tax has been raised to £12,500, and the higher rate threshold has increased to £50,000. In real terms this could mean savings of around £130 a year for those on basic rate, whilst for those on a higher rate this equates to a saving of £860.

Significantly, 2019 marks the start of the third phase of withdrawal of mortgage interest as an allowable expense. In their 2018/19 return, half of mortgage interest payments can be deducted as an allowance for landlords, while the half remaining is subject to tax relief at 20%.

This month sees a big shake up to the Energy Efficiency Regulations of 2015, and now landlords will be required to contribute up to £3,500 per property to achieve a minimum EPC rating of E, as part of the new Minimum Energy Efficiency Standards.

The Chancellor's Spring Statement highlighted a new focus on future proofing new-build homes with low carbon heating – a major note is the banning of gas boilers in new homes by 2025.

According to the guidance, where the costs of improvement to properties exceeds £3,500, the expectation is that landlords will “install all measures which can be installed at up to £3,500, then register an exemption”. This exemption will last five years, at which point landlords will be required to make another attempt at improving to the minimum level of energy efficiency.

Follow us