Land Transaction Tax Wales?? Nasty Surprise!

Crashy_Time

Jaffapig wrote: »

No I don't mean our limit. But the amount we've gone to balancing our deposit and mortgage is where I am comfortable with.

I don't really want a larger mortgage due to anything unforeseen in the future/significant interest rate rises so it will have to come out the emergency fund or deposit. I quite liked having the emergency fund in case boiler or car dies after house purchase so I'm less keen to dip into it. I will have to come to some decision on it...

Just wait then, because presumably this tax will help lower property prices...is that what they are aiming for?

buggy_boy

Crashy_Time wrote: »

Just wait then, because presumably this tax will help lower property prices...is that what they are aiming for?

Surely it would just reverse the rises of when it was introduced not that long ago... £4000 on £300k is just over 1% of the transaction value, compared to buying fuel or other items that have VAT at 20% its not a bad deal.

Crashy_Time

buggy_boy wrote: »

Surely it would just reverse the rises of when it was introduced not that long ago... £4000 on £300k is just over 1% of the transaction value, compared to buying fuel or other items that have VAT at 20% its not a bad deal.

So 8k on a 600k house, which has become a "normal" price for a pretty ordinary house in this bubble? When was the last time you paid 8k VAT on fuel?

buggy_boy

Crashy_Time wrote: »

So 8k on a 600k house, which has become a "normal" price for a pretty ordinary house in this bubble? When was the last time you paid 8k VAT on fuel?

Why are you talking about a 600k price, who is buying a 600k house price as a first time buyer? you are again trying to manipulate facts to make your argument, the average uk house price is around 225k...

Ive paid out around 5k in SDLT buying 2 of my personal properties in the last 15 yrs, I do around 35k miles a year and have done for the last 15 yrs, going on an average of £1 a ltr and paying an average of 60% duty (being generous), given my mpg it I would do on average 10 miles a ltr, so spend is on average spread out around £3.5k a year, 60% duty is £2.1k a year, times that by 15 years and ive spent £31.5k....

Even if you allow for some margin of error I have easily spend more on tax on fuel than SDLT.

davidmcn

Crashy_Time wrote: »

So 8k on a 600k house, which has become a "normal" price for a pretty ordinary house in this bubble? When was the last time you paid 8k VAT on fuel?

In which part of Wales is £600k a "normal" house price?

moneyistooshorttomention

ProDave wrote: »

Isn't devolution a wonderful thing.

Westminster tries to make things more fair and affordable, and the local assembly is having none of it.

Use pour vote at the next assembly elections caarefully.

There is an "Abolish the Welsh Assembly" Party.

Just saying........

Crashy_Time

buggy_boy wrote: »

Why are you talking about a 600k price, who is buying a 600k house price as a first time buyer? you are again trying to manipulate facts to make your argument, the average uk house price is around 225k...

Ive paid out around 5k in SDLT buying 2 of my personal properties in the last 15 yrs, I do around 35k miles a year and have done for the last 15 yrs, going on an average of £1 a ltr and paying an average of 60% duty (being generous), given my mpg it I would do on average 10 miles a ltr, so spend is on average spread out around £3.5k a year, 60% duty is £2.1k a year, times that by 15 years and ive spent £31.5k....

Even if you allow for some margin of error I have easily spend more on tax on fuel than SDLT.

But the OP was bothered about paying the 4k, indicating that they had stretched themselves financially to buy their house, and indicating that maybe they can`t really afford the house (at present prices)? No amount of posting about how many miles you travel etc. changes the fact that many people are unable to purchase property at todays asking prices, hence sales dropping more and more?

bowlhead99

Crashy_Time wrote: »

But the OP was bothered about paying the 4k, indicating that they had stretched themselves financially to buy their house, and indicating that maybe they can`t really afford the house (at present prices)?

Yes they are bothered about it, but may still go ahead and pay the asked/offered price (by using their emergency fund or doing greater borrowing), as they are in competition with others who were not relying on a stamp duty break to offer that amount of money for the property.

No amount of posting about how many miles you travel etc. changes the fact that many people are unable to purchase property at todays asking prices, hence sales dropping more and more?

The posting about how many miles they travel certainly illustrated that they did not stop travelling just because VAT on fuel existed.

Likewise no amount of posting that the SDLT or LTT on a £600k house exceeds the VAT on a tank of fuel deflects from the fact that the VAT on £600k of fuel is a lot more than the tax on a £600k house, not that the tax on a £600k house is of much relevance to the typical Wales FTB...

ScorpiondeRooftrouser

ProDave wrote: »

Isn't devolution a wonderful thing.

Westminster tries to make things more fair and affordable, and the local assembly is having none of it.

Use pour vote at the next assembly elections caarefully.

It's not a local assembly, it's a national assembly. Setting rules and regulations for the country to suit different conditions and ideals than prevail in England. Lower taxation is not necessarily fairer.

ScorpiondeRooftrouser

moneyistooshorttomention wrote: »

There is an "Abolish the Welsh Assembly" Party.

Just saying........

If you want to be completely ruled by laws that the English vote for, you had the option of staying in England. You chose to move to Wales, nobody asked you. It's one thing to question the individual laws, quite another to question the idea that Wales should be allowed to make laws to suit itself.