New 3% Stamp Duty tax

davidmcn

ognum wrote: »

Thank you for this information, there has been a drip drip of information on this but clarification of each point is very useful.

Note though that this is all merely educated speculation, given that they are still consulting and there is no legislation yet.

AdrianC

ognum wrote: »

It appears the tax will be paid on anyone who increases the number of houses they own

Yep, that was the announcement last November.

seaspray10

AdrianC wrote: »

It was announced in November.

Yes it was but when announced they said it wouldn't effect residential purchases.

p00hsticks

seaspray10 wrote: »

Yes it was but when announced they said it wouldn't effect residential purchases.

Not in the Autumn statement they didn't - the extra 3% SDLT was announced as applying to all "additional properties".

From Hansard

"The fifth part of our housing plan addresses the fact that more and more homes are being bought as buy-to-lets or second homes. Many of them are cash purchases that are not affected by the restrictions I introduced in the Budget on mortgage interest relief, and many of them are bought by those who are not resident in this country. Frankly, people buying a home to let should not squeeze out families who cannot afford a home to buy. So I am introducing new rates of stamp duty that will be 3% higher on the purchase of additional properties, such as buy-to-lets and second homes. It will be introduced from April next year and we will consult on the details so that corporate property development is not affected. This extra stamp duty raises almost £1 billion by 2021, and we will reinvest some of that money in local communities in London and places like Cornwall, which are being priced out of home ownership. The funds we raise will help build the new homes."

seaspray10

Well at least it's clear now.


It was easily misunderstood as the focus was on buying investment properties/second homes.


I don't disagree with the tax, I just wish I'd understood the implications sooner (better late than never).

_CC_

seaspray10 wrote: »

Yes it was but when announced they said it wouldn't effect residential purchases.

I don't recall that ever being said.

If it were it would leave a big loop hole with Let to Buy.

The stamp duty is meant to discourage BTL and multiple home ownership - both of which apply to you.

AdrianC

seaspray10 wrote: »

It was easily misunderstood as the focus was on buying investment properties/second homes.

And you're looking to buy your third, right?

Thrugelmir

seaspray10 wrote: »

or second homes

You are purchasing a second home. What you do with the first property is up to you. You've decided to let the property. Rather than make the property your home.

No complexity. The issue is basic as this. End of waffle.

ognum

Thrugelmir wrote: »

You are purchasing a second home. What you do with the first property is up to you. You've decided to let the property. Rather than make the property your home.

No complexity. The issue is basic as this. End of waffle.

The OP came on here to simply inform, not to complain or moan, just to pass on information.

Some people may already know this information already but others will not.

The aggressive and bullying attitude of many posts is becoming disgusting.

Maybe people don't realise how the post reads when they type it but a bit more respect and pleasant attitude would make this forum a better place.

Just my opinion.

Thrugelmir

ognum wrote: »

The OP came on here to simply inform, not to complain or moan, just to pass on information.

Some people may already know this information already but others will not.

The aggressive and bullying attitude of many posts is becoming disgusting.

Maybe people don't realise how the post reads when they type it but a bit more respect and pleasant attitude would make this forum a better place.

Just my opinion.

Been endless topics on the same lines on this forum. With people thinking that they should be exempt. Why waste the HMRC's time?

Just my opinion. As from a personal perspective I've found people have become more selfish, rude, impatient and dumber in their day to day dealings.