Stamp duty

robbie

Having paid deposit and waiting to move into a new build i expect to move in august with the new rules on stamp duty of £120,000 i fall below that level at £100,000 will i now be liable to pay this charge :money:

dougk_2

I think Gordon said from midnight tonight...so no as you have not completed you won't have to pay this

An extra £1k to play with for you then!

robbie

Cheers dougk mate

pault123

:beer: Just about to pay my stamp duty within the next 2 weeks. I am buying a £120k 2 bed semi. Due to fork out £1200 for stamp duty.

Is it definetely 12 midnight it comes into affect for the increase in threshold?

hope so :beer: :j :money:

paul

wondering what to spend the £1200 on!

Woby_Tide

won't you still be liable unless price is £119,999?

i.e. does the stamp duty kick in on price of £120k or greater than e.g £120,001 and over? never thought about it before

dougk_2

should kick in at £120,001 which means you have to pay £1200.01. £120,000 or below you pay nothing.

The actual wording from the budget report says :

"From 17 March 2005, the zero-rate threshold for stamp duty land tax will increase
from £60,000 to £120,000 for residential property transactions. The zero-rate threshold forresidential property transactions within the Enterprise Areas remains at £150,000."

So that means from Midnight tonight! So Paul123 as long as it is exactly £120k or less then you are ok ...perhaps you can negotiate a fiver off to make sure!

pault123

Hi should have been more exact its £119975!!

dougk_2

You are fine then - The £1200 will be helpful for all the things you had forgotten about!

simonkirkland

As stamp duty is called 'stamp duty land tax' I take it the new £120k rule will apply when I buy a plot of land for less than £120k...

I'm still looking for a plot of land in the west midlands/worcestershire area if anyone wants to sell me a bit? (for a self build house)

Thanks

Simon

garysletters

I'm fairly sure that if you buy a place for £120K exactly then you would be liable for the tax, it kicks in at £120K, not £120,001. At least, thats what I thought!!!

Bozzy20

I'm buying a house for £124k and contracts not yet exchanged but mortgage offer came through. Would it be illegal to try and renegotiate to get the house price down to £119,999 and I give the owner difference (£4,001) in cash! I would save £1240!!