FEBRUARY 02, 2016 | BY A & S Property
Government to be challenged in court over BTL tax grab
A legal campaign to fight punitive tax relief changes for buy-to-let landlords has progressed to the next stage. Two landlords, Steve Bolton and Chris Cooper, are set to challenge the Government in court on behalf of 737 campaign supporters and 250 Platinum Property Partners.
The letter, which has been issued on behalf of co-claimants Steve Bolton and Chris Cooper, calls for a judicial review of the Government’s policy change announced in the Summer Budget 2015 which restricts buy-to-let mortgage interest tax relief from April 2017. The Government must respond to the letter by Wednesday 10 February.
The legal challenge is being made against the new policy on the basis that it breaches the European Convention on Human Rights, and it constitutes unlawful grant of state aid to corporate landlords and to the owners of commercially let holiday homes contrary to articles of the Treaty on the Functioning of the European Union.
“The change discriminates against the typically smaller landlord who may incur effective tax rates of over 100% while making an economic loss, and gives an unfair commercial advantage to many other categories of landlord unaffected by the change. We are therefore delighted that our legal challenge has progressed to the next stage and look forward to receiving the Government’s response.”