Build-to-rent properties: building allowance, MIT withholding rate  

The Prime Minister has announced the following measures designed to increase the supply of housing: 

• the depreciation rate for eligible new build-to-rent projects where construction commences after 9 May 2023 will be increased from 2.5% to 4% and 
• the withholding tax rate for eligible fund payments from managed investment trusts to foreign residents on income from newly constructed residential build-to-rent properties after 1 July 2024 will be reduced from the current 30% to 15%.