Could Proposed Changes to Stamp Duty In Scotland Help Buyers?
Proposals for the overhaul of the taxation system in Scotland have been announced by the Scottish Government in what promises to be an interesting time leading up to call for independence.
Finance Secretary John Swinney announced a consultation on a more progressive Land and Building Transaction Tax that will be closely related to an individual’s ability to pay.
Under the plans, those properties under £180,000 would not be liable to the new tax. Individuals buying a property valued between £180,000 and £325,000 would pay less tax than under the current stamp duty. Properties sold for more than £325,000 would be liable to more tax than under the present system.
John Swinney said:
“In today’s consultation on the proposed Land and Building Transaction Tax we have signalled our preference for a progressive system of taxation where the amount of tax paid is more closely related to the value of the property and therefore to the ability of the individual to pay.
“At the same time our consultation also indicates a willingness to adjust the threshold at which taxation is levied in order to support those at the lower end of the market.”
"To ensure that the views of the taxpayer and expert communities remain embedded in the development of our approach to taxation, we will also establish a Tax Consultation Forum to which representative bodies, networks and organisations with an interest in the tax system can contribute.
It is thought that the proposed changes will benefit up to 90% of those buying property however the industry waits to see if impact of these changes has an overall positive effect on the property market