Fundamental Changes to Interest Deductions

An extra ï¿¡10bn capital allowances will need to be identified each year to mitigate the restrictions on tax relief for bank interest and carried forwards tax losses.  Few companies, particularly in the property sector are aware of this fundamental change to UK taxation.

In the current season of Panamania with the attention on tax havens, avoidance and politicians personal tax arrangements, it has obscured two fundamental tax changes that will be introduced in April 2017. These are the restrictions on interest relief and carried forwards tax losses.

The Lovell Consulting article (click here), which includes comment from The British Property Federation, covers both of these topics, and for further discussion the Lovell Consulting team can be reached on 020 7329 1300.