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U.K. Property Sales-Tax Increase to Include Overseas Homeowners

A crane stands alongside a residential apartment under construction in the Lincoln Plaza area, developed by Galliard Homes, in the Canary Wharf business, financial and shopping district, in London, U.K., on Thursday, May 21, 2015. Developers are seeking to appeal to foreign buyers, who favor apartments, with high-rise, high-volume projects, particularly in east London.
Photographer: Simon Dawson/Bloomberg

The U.K. government’s plan to increase sales taxes on second homes in Britain will also apply to people who live abroad.

From April, buyers of second homes and buy-to-let properties in the U.K. will be subject to stamp-duty sales tax that’s 3 percentage points higher than those who are buying a home to live in, U.K. Chancellor of the Exchequer George Osborne announced in November. In deciding whether an individual is purchasing an additional home, the government will also consider assets outside the U.K., according to a consultation document published on Monday.