Changes in Stamp Duty

Stamp Duty Tax relief for the first £250,000 for first time buyers ended on the 24th March 2012, and the new rates are as follows:

Stamp Duty Land Tax rates 2012
Purchase price / lease premium or transfer valueStamp Duty Land Tax rate
£0 up to £125,0000%
Over £125,000 up to £250,0001%
Over £250,000 up to £500,0003%
Over £500,000 up to £1,000,0004%
Over £1,000,000 up to £2,000,0005%
Over £2,000,0007%
Over £2,000,000 and bought through a company15%

If the value is above the payment threshold, Stamp Duty Land Tax (SDLT) is charged at the appropriate rate on the whole of the amount paid. For example, a house bought for £130,000 is charged at 1 per cent, so £1,300 must be paid in SDLT. A house bought for £350,000 is charged at 3 per cent, so SDLT of £10,500 is payable.

If you’re thinking of buying or selling, our Property team would be delighted to help. Speak to Sue Rzeznicki on 0117 906 9432

Source: HM Revenue and Customs

The contents of this article are intended for general information purposes only and shall not be deemed to be, or constitute legal advice. We cannot accept responsibility for any loss as a result of acts or omissions taken in respect of this article.