Stamp Duty Holiday Extended - March Budget
3rd March 2021 posted in Buyers
The stamp duty holiday for house buyers is being extended for a further three months until the end of June, it was announced in the budget today (03.03.2021).
What is the stamp duty holiday?
Last July, in response to the COVID-19 Pandemic, the UK Government announced the first iteraiton of the stamp duty holiday, meaning no stamp duty was payable on a house purchase up to £500,000. This was due to end on March 31st 2021, but has now been extended.
So what has changed in this budget announcement?
- Purchases up to £500,000 will continue to be free from the tax until June 30th
- From July 1st until the 30th September, buyers will not pay Stamp Duty on properties up to £250,000
- From October 1st, Stamp Duty thresholds will be as normal, with no tax paid up to £125,000 only.
NEW AND UPCOMING THRESHOLDS
Property purchases from 1 July 2021 to 30 September 2021
The SDLT thresholds will be:
- £250,000 for residential properties
- £150,000 for non-residential land and properties
The threshold for residential properties will change on 1 October 2021.
Property purchases from 1 October 2021
The SDLT thresholds will be:
- £125,000 for residential properties
- £150,000 for non-residential land and properties
These thresholds are the same as they were before 8 July 2020.
First-time buyers
From 1 July 2021, you’ll get a discount (relief) that means you’ll pay less or no tax if both the following apply:
- you, and anyone else you’re buying with, are first-time buyers
- the purchase price is £500,000 or less
You’ll also be eligible for this discount if you bought your first home before 8 July 2020.
Read more about Stamp Duty here