Real Estate

The QAHC regime was introduced in 2022, and removes certain barriers which have historically limited investor appetite for using a UK company to act as a holding company to facilitate the flow of capital, income and gains between investors and underlying investments.

There are a number of tax issues to consider when acquiring real estate, including which vehicle to use and what reliefs might be available. Find out more about fund structures and potential tax reliefs for property via our insights and resources.

There have been a number of changes impacting the position of all UK commercial property owners (eg the corporate interest restriction rules) together with specific changes for non-resident owners (eg CbCR, the proposals for a register of beneficial owners, and to bring non-resident landlords within UK corporation tax). Find out more in respect of these changes, and many other areas relating to the taxation of UK commercial property via our insights and resources.

Historically, the tax position for investors in UK commercial property has been relatively stable - unlike most other major jurisdictions, the UK did not exercise its full taxing rights where non-residents disposed of UK commercial property. However, from April 2019, the UK will tax non-residents on gains. Find out more in respect of these changes, and many other areas relating to the disposal of UK commercial property via our insights and resources.

Significant changes have been made to the taxation of UK residential property in recent years, making it increasingly difficult to determine the correct holding structure. Our insights and guides provide more detail.

Consult our insights and resources for analysis of some of the tax issues which landlords and tenants need to consider when entering into leases.

Stamp Duty Land Tax (SDLT) is a tax on transactions in English and Northern Irish real estate. Scottish and Welsh real estate are subject to Land and Buildings Transaction Tax (LBTT) and Land Transaction Tax (LTT) respectively. Each regime applies different rules to commercial and residential real estate, and the rules in respect of residential transaction taxes are particularly complex. Consult our insights and resources for more information.

Business rates represent a significant cost, and there have been many changes to the business rates system in recent years, including, in 2017, the first revaluation for 7 years. Learn more about the changes with our business rates insights and articles.

Securing tax relief for financing costs will be of key importance for real estate investors. Find out more about the significant changes to the rules in this area via our insights and resources.

There is constant change in the tax governance environment. Find more information on the many requirements here.

The Government has made the REIT regime more attractive with changes to the legislation in recent years and there is currently a great deal of interest in REITs as a property holding structure. Find out more about REITs via our insights and resources.

Our global real estate network comprises of people and teams with hands-on experience at the very top of the industry. Our Global Real Estate real estate publications provide you with a summary of the tax developments in respect of real estate investments from more than 40 countries.

Land and property transactions can be standard rated, zero rated, reduced rated, or exempt from VAT, depending on the nature of the property and of the transaction. They also involve high values, so it’s important to ensure the VAT treatment is correct. Consult our guide for an outline of the VAT position on common land and property transactions.

Please get in touch if you have any questions about the topics discussed on The Suite.