RPDT01100 - Introduction: background
The residential property developer tax (RPDT) forms part of a building safety package announced in February 2021 by the then Secretary of State at the Ministry for Housing Communities and Local 바카라 사이트 (MHCLG) (temporarily the Department for Levelling Up, Housing and Communities, (DLUHC)).聽 Its aim is to obtain a contribution from the UK바카라 사이트檚 largest residential property developers towards the 바카라 사이트바카라 사이트檚 cost of dealing with defective cladding in the UK바카라 사이트檚 high-rise housing stock discovered following the Grenfell Tower fire tragedy in June 2017.聽
The other revenue-raising measure announced as part of the Building Safety package is the Building Safety Levy, a charge in respect of certain high-rise developments levied at the pre-construction phase.聽 The levy will not be administered by HMRC but will be paid as part of the building regulatory process and is the responsibility of MHCLG.
RPDT is intended to raise at least 拢2bn over a ten-year period.聽 The 바카라 사이트 has stated that the tax should be time limited and will be repealed when its aims have been achieved.
The tax is limited to the largest residential property developers by each group having an annual allowance of 拢25 million, with only profits from residential property development activities above this amount being subject to the tax.聽 For companies within scope of the tax, RPDT is charged at 4% on residential property development profits that exceed their annual allowance.
RPDT is based on a company바카라 사이트檚 trading profits from residential property development activity in the UK.聽 It does not apply to chargeable gains from land that is not disposed of by way of trade nor to gains on shares.聽 See RPDT20210.
The following abbreviations are used in this manual 바카라 사이트�
AP 바카라 사이트� accounting period for Corporation Tax purposes
APE 바카라 사이트� accounting period ending (on date shown)
CT 바카라 사이트� Corporation Tax
CTMXXXXX 바카라 사이트� HMRC Corporation Tax Manual page XXXXX
CTA09 바카라 사이트� the Corporation Tax Act 2009
CTA10 바카라 사이트� the Corporation Tax Act 2010
FAXX 바카라 사이트� the Finance Act for year XXXX
JV 바카라 사이트� joint venture
PIMXXXX 바카라 사이트� HMRC Property Income Manual page XXXX
RP 바카라 사이트� residential property as used in defined term 바카라 사이트淩P developer바카라 사이트�
RPD 바카라 사이트� residential property developer in context of RPD profits or losses
RPD 바카라 사이트� residential property development in context of RPD activities
RPDT 바카라 사이트� residential property developer tax
RPDTXXXXX 바카라 사이트� HMRC Residential Property Development Tax Manual (this manual)
SDLT 바카라 사이트� stamp duty land tax
SI 2022/266 - The Residential Property Developer Tax (Allocation of Allowance) Regulations 2022
TCGA92 바카라 사이트� the Taxation of Chargeable Gains Act 1992
TMA70 바카라 사이트� the Taxes Management Act 1970
TIOPA10 바카라 사이트� the Taxation (International and Other Provisions) Act 2010