New Stamp Duty Land Tax Rates end of 2014

New Stamp Duty Land Tax Rates end of 2014

house knightsbridgeThere are new SDLT rates published that came to the effect on 4th December 2014.

Previosuly, SDLT was charged at a single rate for the whole purchase price of a property. However, from 4th December it is charged at increasing rates for each portion of the price.

The following rates are due to be paid for resindetial properties:

  • nothing on the first £125.000 of the property price
  • 2% on the next £125.000
  • 5% on the next £675.000
  • 10% o the next £575.000
  • 12% on the rest (above £1.5 million)

For example, if you buy a property for £275.000, you will pay £3,750 of SDLT.

- nothing on the first £125.000

- £2,500 on the next £125.000

- £1,250 on the remaining £25.000

SDLT is charged at 15% for corpoarte bodies (such as companies and collective investment schemes) on residential properties costing more than £500.000

If it is a residential lease more than £125.000, Stamp duty will be paid at 1% on the amount above the £125.000 threshold.

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