A new taxation regime for investors in property was introduced on 6 April, allowing them to combine tax-efficient property investment with the flexibility of investment through an open-ended vehicle.
The Authorised Investment Funds (Tax Amendment) Regulations 2008 introduce the property authorised investment fund, or PAIF. A PAIF is an open-ended investment company (OEIC) that has elected to join the PAIF regime by giving notice to HM Revenue & Customs. The aim of the regime is to level the playing field between open-ended and closed-ended property funds.
