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<p>The Government does not intend to introduce a new levy on higher value homes.</p><p>
</p><p>The number of residential properties in the UK valued at more than £2 million
was estimated before Budget 2012 to be around 55,000. The Treasury does not have a
precise regional breakdown of properties worth over £2 million.</p><p> </p><p>Budget
2012 introduced a number of changes to high value property tax, including the introduction
of the Annual Tax on Enveloped Dwellings (ATED), a tax on residential properties valued
at more than £2 million owned through certain corporate ‘envelopes'.</p><p> </p><p>Self-assessment
was chosen for ATED. The cost of implementing ATED was set out in the Tax Information
and Impact Note published alongside Budget 2013. <a href="http://www.hmrc.gov.uk/budget2013/tiin-1182.pdf"
target="_blank">http://www.hmrc.gov.uk/budget2013/tiin-1182.pdf</a></p><p>The cost
of implementation of a new levy would be dependent on the nature of the tax.</p><p>
</p><p>As part of the introduction of ATED, a public consultation document was published
and a variety of organisations responded. The response to the consultation can be
found here: <a href="https://www.gov.uk/government/consultations/ensuring-the-fair-taxation-of-residential-property-transactions"
target="_blank">https://www.gov.uk/government/consultations/ensuring-the-fair-taxation-of-residential-property-transactions</a></p><p>
</p><p>When developing ATED, no account was taken of mortgage liability.</p><p> </p>
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