Temporary exemption on Stamp Duty Land Tax (SDLT)
The Chancellor of the Exchequer has announced that from 3 September he will introduce a temporary exemption ('holiday') from SDLT for acquisitions of residential property worth not more than £175,000.
The exemption will be available for the acquisition of major interests in land (other than grants of leases for less than 21 years or the assignment of leases with less than 21 years to run).
In order that for the exemption to apply the acquisition must:
- consist entirely of residential property
- be for a chargeable consideration of not more than £175,000
The exemption will be available where the effective date of the land transaction (normally the date of completion) is on or after 3 September 2008 and before 3 September 2009. There are no circumstances in which this exemption will be available for any land transactions either before 3 September 2008 or after 3 September 2009.
The exemption must be claimed using a return form (SDLT1).
