SDLT abolished from midnight tonight
The Chancellor has just announced in his Autumn Statement that Stamp Duty Land Tax, in relation to residential assets, in its current form is being abolished from midnight tonight.
There will be no slab system. Instead, the tax will be charged on a progressive basis, as below:
0% on the first £125,000
2% on the value between £125,001 to £250,000
5% on the value between £250,001 and £925,000
10% on the value between £925,001 and £1.5m
12% on the value over £1,500,001
Where contracts have been exchanged but the sale has not completed on or before 3rd December 2014, it will be possible to choose between the old and the new rules. These transitional rules may not apply to certain transactions which involve (for example) a variation, assignment or sub-sale or which arise from the exercise of certain rights or options.
Draft legislation and explanatory notes