How tax changes will affect your second home

Until recently, owning a holiday home and renting it out was a smart investment. Any losses could be offset against the tax on other earnings, and capital gains tax and inheritance tax could be deferred or avoided under the rules that govern business assets.

All this made it a win-win for higher-rate tax-payers: if your holiday home was netting you extra income, then great.


But if it wasn’t,