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Stamp Duty Threshold Raised

Chancellor announces a £5k rise in the stamp duty threshold

24th March 2006



Chancellor Gordon Brown has announced a rise in the stamp duty threshold, by £5,000 to £125,000.

Stamp duty is a tax paid on the purchase of property, and the new threshold means that any house bought for less than £125,000 will not attract the duty. Properties costing between £125k and £250k will be taxed at 1% of their value, 3% will be levied on those costing between £250k and £500k, while those of higher values will be taxed at 4%.

The threshold rise will be welcomed by house buyers, especially first time buyers, but is not as dramatic as last year's doubling of the threshold from £60k to £120k.

Stamp duty raises around £5.5bn for the treasury each year.





More on Stamp Duty : Stamp Duty Worth £5.5bn to Treasury (News, 02/11/2005)Stamp Duty Threshold Doubled (News, 16/03/2005)Calls for Stamp Duty Threshold Rise (News, 09/11/2004)Calls to Abolish Stamp Duty for First Time Buyers (News, 04/12/2003)


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