From next month, April 2018, the UK’s Stamp Duty Land Tax or SDLT will be replaced in Wales by Land Transaction Tax (LTT).
We’ve set out below some of the key points to help you understand what’s changing and what it means to you.
The change has been implemented by the Welsh Government’s WRA (Welsh Revenue Authority) and is a legislation change to establish devolved tax raising power for Wales.
This new tax will broadly mirror SDLT but there are some changes that you should be aware of. We’ve tried to cover some of the points here but would ask you contact your conveyancing specialist for detailed explanations and to provide clarity – after all, its what we do.
So, what’s the good news? There will no longer be Land Transaction Tax payable for properties purchased under £180,000. The average cost of a home in Wales is £145,000 so this is indeed good news for many.
This good news will also likely apply to first time buyers - many first purchasers in Wales, an estimated 80%, will be buying under the £180,000 threshold.
However anyone buying higher value homes will notice some changes and we’ve included a table below to help guide you
|Residential Land Transaction Rates
||Main Residential Rates
|£0 - £180,000
|£180,000 - £250,000
|£250,000 - £400,000
|£400,000 - £750,000
|£750,000 - £1.5 million
|Over £1.5 million
This link, to the Wales Revenue Authority website, will allow you to calculate your tax
Welsh Revenue Authority
As you would expect all of our conveyancing specialists have been fully trained on the new rules, they understand the updated thresholds and they are familiar with the new software system required to make this work seamlessly.
We’ve got this covered - because we talk property so please
Posted by Insight Law on
20 March 2018
Insight Law, Land Transaction Tax, LTT, Property Law Specialists, Residential Conveyancing, SDLT, Stamp Duty Land Tax, Wales, We Talk Property, Welsh Government, Welsh Revenue Authority, WRA