SPEED READ The tax rises announced in the emergency Budget did not at first sight adversely impact property investors as much as had been feared. However, we need to wait to see the outcome of the Spending Review in October, particularly in respect of public sector property, and corporation tax reform before the full impact can be assessed. Tax announcements of note to property investors were: the reduction of capital allowances rates to 18% (main pool) and 8% (special rate), the potential effect of the VAT rise to 20% on retail and residential landlords, the 28% capital gains tax rate affecting higher rate taxpayers selling investment property and the positive impact of the reduction in the rate of corporation tax on UK resident property owning corporates
