Stamp Duty Land Tax: rates and thresholds; first time buyers - May 2010
rates and thresholds
A higher stamp duty land tax (SDLT) rate of 5% has been introduced for purchases of residential property where the consideration exceeds £1 million.
The new higher rate will apply to residential purchases with an effective date on or after 6 April 2011.
At present the highest SDLT rate of 4% applies to purchases where the consideration exceeds £500,000. (A measure will be included in Finance Bill 2010 to add a new rate of 5% for transactions in residential property where the consideration for the transaction exceeds £1 million).
first time buyers
A new relief is introduced from stamp duty land tax (SDLT) for purchases of residential property at up to £250,000, where the purchaser or all the purchasers are first time buyers and intend to occupy the property as their only or main home. This relief is time-limited to two years.
The new relief will be available for residential purchases where the date of completion is on or after 25 March 2010 and before 25 March 2012.
The SDLT rate has been 1% for residential purchases where the consideration was more than £125,000 and up to £250,000.
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