West Norfolk MP welcomes holiday home tax proposal
A West Norfolk MP has welcomed plans to close a tax loophole for second home owners who claim they use their properties as holiday lets.
From next year, owners will have to prove they rent their homes out for at least 70 days a year to qualify for business rate relief. At present, no such evidence is required.
Ministers say the move will also require the owners of properties which are not being used as holiday lets to pay council tax.
And North West Norfolk MP James Wild says the measure will be fairer all round.
He said: “Having campaigned for this tax loophole to be closed, it is very welcome news that the government will ensure that second homeowners pay their fair share towards local services.
“While holiday lets that are genuine business should benefit from business rates relief, this will end an unfairness and mean that councils don’t lose out on income to provide local services and support village activities.”
The new rules, which are due to come into force from April 2023, will require homeowners to provide evidence like promotional material, letting details or receipts.
Homes will also have to be available to be rented out for 140 days a year to qualify for business rates relief.
Mr Wild has worked with parish councils and representatives in several coastal areas on the issue.