Tax Rates 2024/25Oct Budget 2024 |
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Introduction
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Property taxesAnnual Tax on Enveloped Dwellings (ATED)ATED applies to ‘high value’ residential properties owned via a corporate structure, unless the property is used for a qualifying purpose. The tax applies to properties valued at more than £500,000.
Stamp Duty Land Tax (SDLT), Land and Buildings Transaction Tax (LBTT) and Land Transaction Tax (LTT)
A supplement applies for all three taxes where an additional residential property interest is purchased for more than £40,000 (unless replacing a main residence). It is also payable by all corporate purchasers. For SDLT, up to 30.10.24 the supplement is 3% of total purchase price; from 31.10.24 it is 5%. For LBTT it is 6%. LTT has specific higher rates in bandings: up to 180k: 4%, 180 - 250k: 7.5%, 250 - 400k: 9%, 400 - 750k: 11.5%, 750-1,500k: 14%, >1,500k: 16%. For SDLT: – First-time buyers purchasing a property of up to £625,000 pay a nil rate on the first £425,000 of the purchase price. – A 2% supplement applies where the property is bought by certain non-UK residents. – A rate of 17% (pre 31.10.24: 1%) may apply to the total purchase price, where the property is valued above £500,000 and purchased by a ‘non-natural person’ (e.g. a company). For LBTT, first-time buyer relief increases the nil rate band to £175,000.
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