New Land and Buildings Transaction Tax rates explained
From 15 July, the Scottish government announced that they are cutting the rate of Land and Buildings Transaction Tax (LBTT), with the threshold increasing from £145,000 to £250,000. These revised rates and bands will run and will apply to all relevant transactions until and including 31 March 2021. LBTT requires home buyers to pay tax on amounts between bands, as opposed to the full purchase price of a property. LBTT rates in Scotland are different to the taxation rates in the rest of the UK. The following changes have been made following the recent changes to Stamp Duty Land Tax (SDLT) in England and Northern Ireland that took effect on 8 July. If you are purchasing your primary property, the first £250,000 will be exempt from tax. Between £250,001 and £325,000 you will pay 5% LBTT, then 10% on the amount between £325,001 and £750,000 with any amount thereafter taxed at 12%. This will mean that residential property tr...
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15th Jul 2020
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