Figures released by HM Revenue & Customs (HMRC) last month revealed a record Stamp Duty Land Tax (SDLT) take of £7.7bn in the first eight months of this financial year.
The figure represents a 12 per cent increase on the same period in the previous year and comes despite a 10 per cent fall in the number of homes that were sold in the UK.
The increase appears to have been fuelled in part by a seven per cent increase in house prices over the last year, but also the implementation of a raft of changes to the SDLT regime including a new basis for charging residential and commercial properties, the introduction of a 3% SDLT surcharge for additional residential properties from April 2016 and a more stringent anti-avoidance regime.
Wilder Coe Founding Partner Robert Coe commented: ‘In view of the recent changes in Stamp Taxes they have now become a major consideration in property transactions.”
Pauline Hudd, Partner at Wilder Coe says: “We understand that estate agents estimate that more than 40 per cent of SDLT revenue comes from within the M25. So our clients in and around the London area are directly impacted by the higher SDLT rates applicable to buyers on the most expensive properties.”
If you are in need of advice on Stamp Taxes specific to your situation, please give our Partner and Stamp Duty Expert, Pauline Hudd a call using the details below. She is more than delighted to assist on any Stamp Duty or SDLT matters.