Disadvantaged areas stamp duty relief ends soon
The HMRC have announced that stamp duty relief for those in areas designated ‘disadvantaged’ will soon come to an end.
This measure will be effective for transactions on or after 6 April 2013. Current legislation provides relief, in designated areas, from stamp duty land tax (SDLT) for purchases of residential property with a purchase price below £150,000.
The HMRC explained that the legislation is being repealed as there is no evidence to suggest that it encourages ownership in disadvantaged areas.
The decision is part of the Government’s plans to simplify the tax system and repeal any reliefs that are proving ineffective.
All claims for relief for purchases of residential property must be made on or before 5 May 2014.