Whilst the stamp duty holiday has been extended following the budget announcement on 3rd March, another smaller change for stamp duty has come into effect from 1 April 2021. Any non UK resident will be subject to an additional 2% surcharge of stamp duty land tax when buying residential property in the UK. This rule affects those buying a property together with a UK resident if you are not married, and also applies to companies which are not UK resident for corporation tax. Although certain exemptions apply.
This tax is in addition to current stamp duty rates. Those purchasing property (as their primary residence) have no stamp duty to pay up until 30 June for properties worth up to £500,000. The level then drops to £250,000 until 30 September, when the usual stamp duty rates will resume. First time buyers continue to pay no stamp duty on purchases up to £300,000.
Stamp duty is a complex tax, and we always recommend that buyers seek specialist advice from accountants and tax advisors where the issue of stamp duty arises. We work in conjunction with tax specialists to ensure that the correct stamp duty is paid and that the question of which stamp duty rate is applicable and how much stamp duty to be paid, is considered at the very start of every transaction to allow for a smooth conveyancing process.
To speak to our specialised and experienced property team today, please contact us on 01524 846 846.