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2015 Budget - Property Taxes |
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Annual Tax on Enveloped Dwellings (ATED)
From 1 April 2013 the ATED applies to 'high value' residential properties owned via a corporate structure, unless the property is used for a qualifying purpose. From 1 April 2015 the tax applies to properties valued at £1m or more (previously £2m or more). There are many reliefs that can remove or reduce the charge, but in order to claim a relief, an ATED return must be submitted. The 2015/16 ATED return and tax due must generally reach HMRC by 30 April 2015.
| Property Value |
Annual charge to 31/03/2016 |
31/03/2015 |
| £1m to £2m |
£7,000 |
N/A |
| £2m to £5m |
£23,350 |
£15,400 |
| £5m to £10m |
£54,450 |
£35,900 |
| £10m to £20m |
£109,050 |
£71,850 |
| £20m + |
£218,200 |
£143,750 |
Stamp Duty Land Tax
Residential property
| Purchase price |
SDLT rate on the band* |
| Up to £125,000 |
Nil |
| £125,001 to £250,000 |
2% |
| £250,001 to £925,000 |
5% |
| £925,001 to £1.5m |
10% |
| £1.5m + |
12% |
*A rate of 15% 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).
Commercial property
| Purchase price |
SDLT rate on total price |
| Up to £150,000 |
Nil |
| £150,001 to £250,000 |
1% |
| £250,001 to £500,000 |
3% |
| £500,000 + |
4% |
Land and Buildings Transaction Tax (LBTT)
From 1 April 2015, SDLT is replaced in Scotland by LBTT. Like SDLT, it is payable by the purchaser.
Residential property
| Purchase price |
Rate on band |
| Up to £145,000 |
Nil |
| £145,001 to £250,000 |
2% |
| £250,001 to £325,000 |
5% |
| £325,001 to £750,000 |
10% |
| £750,000 + |
12% |
Commercial property
| Purchase price |
Rate on band |
| Up to £150,000 |
Nil |
| £150,001 to £350,000 |
3% |
| £350,000 + |
4.5% |
Stamp duty on shares
No duty if consideration does not exceed £1,000, otherwise 0.5% of total consideration, rounded up to the nearest £5. Gifts, legacies and other 'gratuitous transfers' are generally not liable to duty at all.
Purchases of marketable securities are instead subject to 0.5% Stamp Duty Reserve Tax (SDRT), unless exempted (e.g. purchases of gilts).
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