Stamp Duty - Limits set to change soon
In an attempt to arrest the price slide in the housing market theChancellor announced measures on 2 September 2008 to ease the impact ofStamp Duty Land Tax. The details are:
. From 3 September 2008 stamp duty will not be charged onresidential house purchases of £175,000 or less. Prior to thisannouncement residential property sales up to £125,000 were exempt.
. If the sale proceeds exceed £175,000 the starting rate of stampduty land tax, 1%, will apply to the total consideration, not theexcess over £175,000.
The higher rates of stamp duty are unchanged. 3% for sales over £250,000 and 4% for sales over £500,000.
The special deal for no stamp duty comes to an end on 31st December2009, so make sure that you complete any purchases on property up to£175,000 in value before than date.