UK REITS and the 2018 Budget Changes
08 March 2019
Changes are being made to the tax regime for UK REITs as a consequence of the changes in the taxation of non-residents investing in UK real estate.
The Chancellor has confirmed that the government will introduce UK tax for non-UK residents on their capital gains derived from a disposal of all types of UK land. Certain types of residential land were previously brought within the charge to tax from April 2013 and a further tranche from April 2015 so this is seen by the government as levelling the playing field for all types of taxpayer be they non-resident or UK resident.
As a consequence of this change, new legislation applying from 6 April 2019 will impact upon the tax rules applying to UK REITs and their investors.