Stamp duty - a handy reminder

29 October 2010

Like an awful lot else in economic life at the moment, stamp duty has been changed around a lot recently. Here's a reminder from Darren Bowen, Head of Conveyancing at Woodford Stauffer, to help you plan your purchase.

Stamp duty exemptions have been changed several times in recent years for economic and political reasons. The current rates are as follows:

• Property up to £125,000* - 0%

• Property over £125,000* up to £250,000  - 1% or 0% for first time buyers. The first time buyer rate will be in place until March 2012.

*For disadvantaged property areas the threshold of £125,000 above, rises to £150,000, so all properties are stamp duty exempt up to that level.

For a list of qualifying areas see: http://www.hmrc.gov.uk/so/dar/england.pdf

• Property over £250,000, up to £500,000 - 3%
• Property over £500,000 - 4%

From April 2011 a new rate of 5% will apply for properties over £1,000,000.