New stamp duty rules
You're referring to the changes in stamp duty rules!
In the UK, stamp duty land tax (SDLT) is a tax on the purchase of property, including residential and commercial properties. The rules have undergone changes in recent years, and here's a summary of the key updates:
Residential Properties:
- First-time buyer relief: Introduced in 2017, this relief allows first-time buyers to pay 0% SDLT on properties worth up to £300,000.
- Higher rates for additional properties: Since 2016, there's a 3% surcharge on SDLT for purchases of additional properties, such as second homes or buy-to-let properties.
- Changes to the SDLT rates: In 2014, the government introduced a new SDLT regime, which increased the rates for properties worth over £250,000. The rates are as follows:
- 0% on properties up to £125,000
- 2% on properties between £125,001 and £250,000
- 5% on properties between £250,001 and £925,000
- 10% on properties between £925,001 and £1.5 million
- 12% on properties over £1.5 million
Commercial Properties:
- SDLT rates for commercial properties: The SDLT rates for commercial properties are different from those for residential properties. The rates are as follows:
- 0% on properties up to £150,000
- 1% on properties between £150,001 and £250,000
- 2% on properties between £250,001 and £1 million
- 5% on properties over £1 million
Other Changes:
- SDLT relief for shared ownership: Since 2017, shared ownership properties are exempt from SDLT, as long as the buyer is purchasing a share of the property.
- SDLT relief for certain types of property: Certain types of property, such as agricultural land, are exempt from SDLT.
It's essential to note that these changes may have affected the SDLT rates and rules in your specific situation. If you're planning to buy or sell a property, it's recommended that you consult with a solicitor or tax professional to ensure you're aware of the current SDLT rules and any potential implications.