Exciting News About Stamp Duty Land Tax...said no one, ever!
You may recall that since 8th July, there has been a zero rate of stamp duty imposed on the first £500,000 of a property purchase. That was welcome news, and I don’t doubt that that measure has stimulated the swift return of the property market. However, you may also recall that this was only a temporary measure, due to expire on 31st March 2021.
This in itself brings a problem.
The government website for Stamp Duty reminds us that this ‘Land Tax’ becomes payable when you "buy" the property. So, complete on Wednesday 31st March and (providing certain criteria are met – more details on the .gov website) there is no Stamp Duty to pay on the first £500,000; however, complete on Thursday 1st April and you will return to the rates below:
Given the length of time a new property purchase can take sometimes, it seems sensible say that if you're thinking about a move, now could be the right time, if you want to have any chance of completing in time to avail yourselves of the reduction.
I am not a taxation specialist, nor an accountant. My opinions expressed in this article are my own, based on the information reviewed on www.Gov.uk If you require further information, please read the material available from the government, or speak to a taxation specialist to conclude your own opinion.
Hope that helps.