Homebuyers in Scotland purchasing property worth over £250,000 will face a soaring tax bill from April next year as Stamp Duty is abolished in favour of a new levy called the Land and Buildings Transaction Tax.
The Scottish Finance Secretary, John Swinney, announced yesterday that homeowners of £250,000 properties will see a 10% charge and those with £1m homes will attract a 12% fee. It will mean the charge on buying a £1.5m house soars from £75,000 to £137,300. The new tax starts on homes worth over £135,000 and will be charged at 2% up to £250,000. The new tax will only charge the amount above the threshold at the higher rate, not the entire value of the property like the current UK Stamp Duty regime. The move may eliminate the price bunching that occurs currently just below each thr...
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