Stamp Duty Land Tax or SDLT is a mandatory tax you must pay if you’re purchasing a property or parcel on land in England or Northern Ireland. The amount you pay depends on the value of the property, if you’re a first time buyer and other various factors. SDLT must be paid to HMCR within 14 days of completion on your property. Normally the Solicitor will organise pay for your SDLT and bill this to you as a disbursement. If you’d like to know more about SDLT read about it on the Gov.UK.
Due to the economic impact of the first Covid-19 lockdown the Chancellor of the exchequer, Rishi Sunak announced a scheme to temporarily remove stamp duty on all property purchases valued below £500,000. Originally planned to revert in March 2021, the third national lockdown prompted an extension to this unprecedented tax break.
XYZ are pleased to announce that Chancellor Rishi Sunak plans to extend the Stamp Duty Land Tax holiday by an additional 3 months. This is set to be confirmed in the budget on the 3rd of March.
The Stamp Duty holiday was due to finish on the 31st of March. The 3 month extension will bring the end of the SDLT holiday in line with the proposed roadmap for the end of lockdown restrictions in England and Wales at the end of June.
Data from TwentyCi suggests that the 3 month extension would benefit over 193,000 property sales currently set to miss out on SDLT savings, at a cost of £1 billion to the treasury.
To find out if you could benefit from the extended SDLT holiday use the Stamp Duty Calculator.