Buy-to-Let Landlord Tax Challenge Rejected

The legal challenge to changes in the tax regime relating to buy-to-let properties has failed, despite the backing of a £180,000 'crowd fund' and the pleadings of barrister Cherie Blair.

The case was pursued on the basis that the changes, which limit the expenses that buy-to-let landlords can set against their income for tax purposes, are unfair. In particular, the change which limits deductions for loan interest, which would be allowable in any normal business context, was considered by the challengers to be contrary to established principles of UK taxation.

The court, however, had other ideas, dismissing the case as 'unarguable'.

The changes will be introduced in April 2017, a year after the sharp hike in Stamp Duty Land Tax on buy-to-let properties.

The result will come as a double blow to the Blair family, who have built a substantial property empire.

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