How Much Tax do I pay?

newbieni

Hi,

I am in the process of buying a property with my partner to the value of £265k,  completion date is 25th March.

I currently own a home in my own name and I intend to keep it for a few months whilst work is being carried out on my new home.

I am aware that I am subject to a second home levy and stamp duty. Is it possible to work out what the total for each is?

Thanks in advance.

Flugelhorn

you can use the calculator https://www.tax.service.gov.uk/calculate-stamp-duty-land-tax/#!/intro

Bookworm105

what do you mean by "second home levy"? There is no such thing in the UK. There is only higher rate SDLT.
If you mean will one of the houses incur "second home" council tax then read your respective council websites as the criteria for when (if at all) is explained on them

rather than rely on a calculator to give you a number you don't understand, why not read up on how the additional rate SDLT works, it really is as simple as reading off the % rate applicable above certain thresholds.

Higher rates of Stamp Duty Land Tax - GOV.UK

Bigphil1474

Do you mean second home extra council tax payments which are higher in some areas? That will be dependant on the council area.
Any additional stamp duty you pay on this purchase can be claimed back when you sell your main residence within 3 years - the net result will be that you pay the 5% of the purchase price above £250k, so around £750.

theartfullodger

Which country (eg Scotland, NI..)??

newbieni

theartfullodger said:

Which country (eg Scotland, NI..)??

Northern Ireland.

Bookworm105

newbieni said:

theartfullodger said:

Which country (eg Scotland, NI..)??

Northern Ireland.

then try reading things yourself:

Stamp duty in Northern Ireland calculator - Finder UK


Council Tax for Second Homes | A Comprehensive Guide

Council Tax for Second Homes in Northern Ireland

Northern Ireland operates a distinct system for property taxation. Instead of council tax, domestic properties are subject to domestic rates, which combine regional and district rates. These rates apply uniformly to all properties, including second homes.

Key Features

• Standard Rates: Domestic rates are calculated based on property valuations, with average annual costs ranging from £1,000 to £1,500 for mid-range properties.

• No Premiums: Unlike the rest of the UK, Northern Ireland does not apply additional premiums for second homes. This uniform approach simplifies the system but may contribute to housing pressures in popular areas.