Since December 4, 2014 the rules of property tax or stamp duty were changed in the United Kingdom. It became higher for the rich, and more available for families with low and middle incomes, said George Osborne, Chancellor of the Exchequer, UK. It is reported by the ee24.com with reference to Bloomberg.
According to the new rules, the average real estate buyer in the UK now will save £4,500 on a new home. In addition, 98% of consumers now will pay less in comparison with the previous stamp duty rates. The treasurer said that in this case, the tax for buyers of homes worth £937,000 and more will increase.
According to estimates made by market analysts, now buyers of expensive homes worth £5 million will pay nearly £164,000 more than earlier. Purchasing of residential facility for £15 million will cost £1.7 million of taxes, which is 63% more than the previous sum, as the representative of Knight Frank LLP John Williams wrote in Twitter. Stamp duty is paid once after home ownership is registered.
Purchase price of property – Rate of SDLT (percentage of portion of purchase price)
£0 - £125,000 0%
£125,001 - £250,000 2%
£250,001 - £925,000 5%
£925,001 - £1.5 million 10%
Over £1.5 million 12%
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