Deadline to benefit from increased SDLT threshold approaching
In July last year, the Government announced a temporary increase in the residential stamp duty land tax (SDLT) threshold to £500,000. The higher threshold applies where completion takes place between 8 July 2020 and 31 March 2021. From 1 April 2021, the threshold will revert to £125,000, with a higher threshold of £300,000 applying to first-time buyers where the price of the property is not more than £500,000. Higher (but different) thresholds also apply in Scotland for land and buildings transactions tax (LBTT) and in Wales for land transaction tax purposes (LTT). These are not discussed here. SDLT supplement A SDLT supplement of 3% applies where a buyer purchases a second or subsequent property for £40,000 or more, such as a buy-to-let property or a holiday home. The supplement does not apply where the buyer sells their main residence and buys a new home, even if they also own other properties. Where the higher residential threshold applies, the 3% supplement applies to the rat...