TAX CHANGES FOR HOUSE BUYERS IN SCOTLAND
- Posted on : 22nd January 2016
A ‘P & G TIP’
Important Changes in Land and Buildings Transactions Tax (LBTT) will come in to force in Scotland on 1st April 2016.
These will dramatically affect anyone who is buying a 2nd home or a ‘Buy to Let’ property.
At the moment LBTT is only payable if the price exceeds £145,000. From 1st April 2016 LBTT would be payable on all purchases over £40,000 at a starting rate of 3% of the total price. A £50,000 buy-to-let flat for example would incur LBTT of £1,500.
For a £140,000 property (where there is presently no tax payable) there would be an extra tax burden of £4,200 for a purchaser. If you are considering purchasing a 2nd home or buy-to-let property completing matters before 1st April 2016 could bring significant savings on LBTT.
For more information please contact us on email@example.com or telephone 01387 267316.