A quarter of buy-to-let investors say they will sell
their rental properties as a result of the Government's tax changes. A survey
of almost 1,000 private landlords found that 25pc have already sold, or are planning to sell, following the
Government's plans to remove their ability to deduct their mortgage interest
costs from their rental income before calculating their tax bill. Hardest-hit will be those property investors
paying higher rates of tax (40pc or 45pc) and who have large mortgages. Instead
of being able to deduct mortgage costs, landlords will have a 20pc tax credit,
which will leave many higher-rate taxpayers with squeezed profits and some
falling into a loss after the change begins to be phased in in April. Read more
on the Daily Telegraph.
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