UDIA National has been a long standing champion of levelling the playing field for BTR and lowering the MIT WHT threshold.
The halving of MIT WHT for BTR developments is a welcome initiative however, the proposal needs several amendments, to be able to attract international investors.
We have appreciated working with Treasury to try and overcome the adverse issues however, the current proposal does not significantly improve the competitive position of BTR.
We note material changes to extend the holding period beyond 15 years and the extension of CGT relief on disposal. However, the complexity of the interaction of provisions, make normal commercial transactions very difficult.
As currently drafted, the proposed legislation is still overloaded with reporting and integrity provisions which make it unworkable as an incentive to drive BTR investment.
Our full submission can be found at the Download Button below