Planning Gain Supplement - Another Try At Development Land Tax?

Matters are simply at the consultation stage at present and therefore it is possible only to give a broad outline of the proposals as they currently stand. (Matters may become much clearer after the Budget on 22 March 2006). Here is a summary of the proposals as they currently stand:

The person undertaking development.

The speculation is that it may be around 20% of the increase in value attributable to the permission to which the development relates. There may be phase payments and a lower rate for brown field land.

On commencement of development – but it is calculated by reference to the value at the date of the permission.