Stamp duty reforms from midnight tonight.

racing_blue

Punched it into Excel:

cost, oldSDLT, newSDLT, difference
100000 0 0 0
200000 2000 1500 -500
300000 9000 5000 -4000
400000 12000 10000 -2000
500000 20000 15000 -5000
600000 24000 20000 -4000
700000 28000 25000 -3000
800000 32000 30000 -2000
900000 36000 35000 -1000
1000000 50000 43750 -6250
1100000 55000 53750 -1250
1200000 60000 63750 3750
1300000 65000 73750 8750
1400000 70000 83750 13750
1500000 75000 93750 18750
1600000 80000 105750 25750
1700000 85000 117750 32750
1800000 90000 129750 39750
1900000 95000 141750 46750
2000000 140000 153750 13750

racing_blue

Oh no, what have they done? It's another millionaire's tax cutting ruse- the greatest (absolute) reduction in tax appears to be in houses costing precisely one million pounds... how well thought through that wasn't

kingboth12

I'd agree racing blue.

I think the system they have put in place is broadly correct but the values of taxation and bands are wrong. This is a tax cut and will encourage middle England to carry on with their buy to let investments.

For comparison, the scottish system sees an increase in taxes from around the £325k-350k mark. i.e. first time buyers and middle income earners will be saving but those above paying more. This would seem to be a bit more reasonable IMO.

Having said that, i'll happily take my savings and run...

maninthestreet

I'm never going to be able to sell the 20 room family mansion I inherited now!

MercilessKiller

racing_blue wrote: »

Oh no, what have they done? It's another millionaire's tax cutting ruse- the greatest (absolute) reduction in tax appears to be in houses costing precisely one million pounds... how well thought through that wasn't

That's ridiculous. It's just saved me over £3k. I'm not a millionaire.

Notice how the real millionairs (over the £1mil mark) are getting taxed a lot more! Also there is the mansion tax incoming pretty soon too.

chaotix

My wife and I legally completed on the 28th November. We don't have much left over so the 3k we would have saved on the new system would have been really helpful to buy furniture.

Is there *anything* we can do about this? Even if it means writing a letter to someone to see if they'd help us in this situation?

Quite depressing to know we could have saved 3k just by waiting a few days... especially since we're not going to move in until February/March.

d0nkeyk0ng

Just had a look on hmrc website and used their calculator.

Previously the £280k house I'm in the throes of buying would have cost me £8400 in SDLT. It'll cost me £4000 instead. Huge saving.

deejaybee

We paid 1620 in 2013 on a 162K purchase..

Under new scheme would have paid 740 :mad:

Oh bollards !

I suppose it should make it easier to sell in future.

Diamonds2010

Use the Calculate link below works it out for you

http://www.hmrc.gov.uk/tools/sdlt/land-and-property.htm

ffsear

I completed 3 weeks ago and paid £8550 stamp duty.!! Tommorow it would of been £4250 :mad: :mad: :mad: :mad: :mad: :mad: