Stamp Duty Land Tax

Exemption for first time buyers

Chancellor George Osborne has advised that he will not be extending the Stamp Duty Land Tax holiday for first time buyers and as planned this will now end on the 24th March 2012.

First time buyers should be aware when planning their finances that unless the government change their decision before the 24th March  2012 any purchases which complete after this date will be subject to the usual stamp duty land tax payments.  Therefore careful consideration should be taken when agreeing completion dates and if you wish to rely on the relief for first time buyers please ensure that you inform the solicitors acting for you of the importance of your transaction being completed before the 24th March 2012.

The current stamp duty land tax brackets are :-

£0 - £125,000     No Stamp Duty Land Tax payable

£0 - £150,000     No Stamp Duty Land Tax payable if the property is in a "Disadvantaged Area"

£125,000 - £250,000     1% of actual purchase price

£250,000 - £500,000   3% of actual purchase price

£500,000 - £1m    4% of actual purchase price

over £1m    5% of actual purchase price

If you require any further information regarding Stamp Duty Land Tax please contact our residential conveyancing team