This article is from the source 'independent' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at http://www.independent.co.uk/news/uk/politics/emergency-budget-2015-stamp-duty-10369952.html
The article has changed 4 times. There is an RSS feed of changes available.
| Version 2 | Version 3 |
|---|---|
| Budget 2015: Stamp duty unlikely to be changed by Osborne | |
| (35 minutes later) | |
| In his final autumn statement before the election George Osborne announced sweeping changes to the way stamp duty (the tax paid on property purchases) was calculated. | In his final autumn statement before the election George Osborne announced sweeping changes to the way stamp duty (the tax paid on property purchases) was calculated. |
| He decided to scrap the five existing ‘slab’ stamp duty bands and replace them with a more graduated form of taxation. | He decided to scrap the five existing ‘slab’ stamp duty bands and replace them with a more graduated form of taxation. |
| Thus before last December someone buying a house for £499,999 would have paid three per cent of the property’s total value in stamp duty while if they paid £500,000 for their house they would have paid four per cent on the total sum. | Thus before last December someone buying a house for £499,999 would have paid three per cent of the property’s total value in stamp duty while if they paid £500,000 for their house they would have paid four per cent on the total sum. |
| George Osborne will be delivering the first Conservative Budget in more than 19 years As a result of the changes homebuyers would only pay the extra tax on the sum above the threshold. | George Osborne will be delivering the first Conservative Budget in more than 19 years As a result of the changes homebuyers would only pay the extra tax on the sum above the threshold. |
| For anyone buying a £300,000 house purchase there would be no tax to pay on the first £125,000, then 2 per cent on the next £125,000 and 5 per cent on the last £50,000. Thus the purchaser would be total £5,000 compared with £9,000 under the previous system. | For anyone buying a £300,000 house purchase there would be no tax to pay on the first £125,000, then 2 per cent on the next £125,000 and 5 per cent on the last £50,000. Thus the purchaser would be total £5,000 compared with £9,000 under the previous system. |
| The Treasury at the time claimed that everyone buying a house costing less than £937,000 (or about 98 per cent of households) would pay less. | The Treasury at the time claimed that everyone buying a house costing less than £937,000 (or about 98 per cent of households) would pay less. |
| However because of two new top rates (10 per cent between £925,001 and £1.5m and 12 per cent above £1.5 million) the most expensive properties would cost more in tax to buy. | However because of two new top rates (10 per cent between £925,001 and £1.5m and 12 per cent above £1.5 million) the most expensive properties would cost more in tax to buy. |
| If you spent £2.1m on a home you will pay £165,750 under the new regime versus £147,000 previously. | If you spent £2.1m on a home you will pay £165,750 under the new regime versus £147,000 previously. |
| As a result of the recent changes it is unlikely that Mr Osborne will revisit stamp duty in this budget. | As a result of the recent changes it is unlikely that Mr Osborne will revisit stamp duty in this budget. |
| However, because of inflation, if he does nothing in the longer term Mr Osborne is surreptitiously increasing the tax take for the Treasury by not increasing the threshold levels. It is something to watch for the future. | However, because of inflation, if he does nothing in the longer term Mr Osborne is surreptitiously increasing the tax take for the Treasury by not increasing the threshold levels. It is something to watch for the future. |