Asked by: Siobhain McDonagh (Labour - Mitcham and Morden)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made of the effect on (a) revenue accruing to the public purse for (i) projects to tackle rough sleeping and (ii) other projects and (b) house price inflation of reducing the Stamp Duty Land Tax non-UK resident surcharge from 3 per cent to 2 per cent.
Answered by Jesse Norman
The new rates of Stamp Duty Land Tax for non-UK resident purchasers of residential property in England and Northern Ireland are set to be 2% higher than the rates applying to UK-resident purchasers. The expected revenue will be used to tackle rough sleeping and is set out on page 35 of the “Policy Costings” document published alongside the Red Book at Budget 2020.
No assessment has been made of the effect of a 3% or 5% Stamp Duty Land Tax non-UK resident surcharge.
Asked by: Siobhain McDonagh (Labour - Mitcham and Morden)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether the new Stamp Duty Land Tax non-UK resident surcharge due to come into force in April 2021 can be avoided by being resident in the UK on at least 183 days.
Answered by Jesse Norman
At the March Budget, the Government confirmed its intention to introduce a 2% SDLT surcharge on non-UK residents purchasing residential property in England and Northern Ireland from 1 April 2021.
After a public consultation, which took place between February and May 2019, the Government decided that an individual will be UK resident for the purposes of the surcharge where they are present in the UK for at least 183 days during any continuous 365-day period beginning 12 months before a transaction and ending 12 months after. A refund of the surcharge will be available only if individuals spend 183 days in the UK over the relevant period.
HMRC will publish guidance for taxpayers and agents in advance of the surcharge coming into effect. This guidance will include the information taxpayers and agents will be able to use to demonstrate their residence status.
Asked by: Siobhain McDonagh (Labour - Mitcham and Morden)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made of the potential merits of adopting the Association of Accounting Technicians proposal to extend the residency requirements for the Stamp Duty Land Tax non-UK resident surcharge from 183 days to those of the residency requirements for (a) British Citizenship, five years and (b) the husband, wife or civil partner of a British citizen, three years.
Answered by Jesse Norman
At the March Budget, the Government confirmed its intention to introduce a 2% SDLT surcharge on non-UK residents purchasing residential property in England and Northern Ireland from 1 April 2021.
After a public consultation, which took place between February and May 2019, the Government decided that an individual will be UK resident for the purposes of the surcharge where they are present in the UK for at least 183 days during any continuous 365-day period beginning 12 months before a transaction and ending 12 months after. A refund of the surcharge will be available only if individuals spend 183 days in the UK over the relevant period.
HMRC will publish guidance for taxpayers and agents in advance of the surcharge coming into effect. This guidance will include the information taxpayers and agents will be able to use to demonstrate their residence status.
Asked by: Siobhain McDonagh (Labour - Mitcham and Morden)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps he plans to take in relation to the new Stamp Duty Land Tax non-UK resident surcharge to ensure that overseas buyers are not refunded a surcharge when they state only that they intend to live in the UK for 183 days after purchasing property; and if he will make a statement.
Answered by Jesse Norman
At the March Budget, the Government confirmed its intention to introduce a 2% SDLT surcharge on non-UK residents purchasing residential property in England and Northern Ireland from 1 April 2021.
After a public consultation, which took place between February and May 2019, the Government decided that an individual will be UK resident for the purposes of the surcharge where they are present in the UK for at least 183 days during any continuous 365-day period beginning 12 months before a transaction and ending 12 months after. A refund of the surcharge will be available only if individuals spend 183 days in the UK over the relevant period.
HMRC will publish guidance for taxpayers and agents in advance of the surcharge coming into effect. This guidance will include the information taxpayers and agents will be able to use to demonstrate their residence status.
Asked by: Siobhain McDonagh (Labour - Mitcham and Morden)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how many people with annual trading profits from £50,000 to £60,000 are not eligible to access support under the Self-Employment Income Support Scheme.
Answered by Jesse Norman
The SEISS, including the eligibility requirement that an individual’s trading profits must be no more than £50,000 and at least equal to their non-trading income, is designed to target those who most need it, and who are most reliant on their self-employment income.
Those with average profits above £50,000 may still benefit from other support, and individuals may have access to a range of grants and loans depending on their circumstances. The SEISS supplements the significant support already announced for UK businesses, including the Bounce Back Loan Scheme for small businesses, the Coronavirus Business Interruption Loan Scheme, and the deferral of tax payments.
Applications for the Self-Employment Income Support Scheme (SEISS) opened on 13 May. By midnight 31 May 2020, HMRC had received 2.5m claims representing a total of £7.2bn claimed.
SEISS is a new scheme and HMRC are currently working through the analysis they will be able to provide based on the data available. HMRC will update in due course on the types of data available and timescales for publication.