Stamp Duty tax & Disadvantaged Areas

Stamp Duty Exemption for Disadvantaged Areas

Stamp Duty Exemption in disadvantaged areas applies to residential property located in areas designated by the government as 'disadvantaged'. It also applies to the residential element of 'mixed use' (business and residential) property. 
The SDLT threshold in these cases is £150,000 as opposed to £125,000 for equivalent properties in other areas. During the period 3 September 2008 to 31 December 2009 inclusive Disadvantaged Areas Stamp Duty Exemption did not apply to purely residential properties in areas designated as disadvantaged because the SDLT threshold for these properties was temporarily increased to £175,000. However, it did apply to the residential element of mixed use properties.

Areas which qualify as disadvantaged

There are nearly disadvantaged 2,000 areas which can qualify for Stamp Duty Exemption in the UK. In England, Wales and Northern Ireland they're based on local government wards and electoral divisions. In Scotland they're based on 'postcode areas'.

To qualify for relief, a property (or the land on which it stands) must have been situated in a qualifying area at the 'relevant date'.

The relevant dates are:

• 7 May 1998 in England
• 1 April 1998 in Wales
• 21 April 1991 in Scotland and Northern Ireland.

A property will also qualify for relief if, at 27 November 2001, it had the same full postcode as a property which was situated in a qualifying area at the relevant date.

For more information, please contact Zach Kendal initially on 0870 063 8661 and you could save your Stamp Duty Tax costs up to 50% or more on your purchase today! Remember, we can still have our Tax Consultants help you Save your Stamp Duty costs EVEN if you have already exchanged - don't delay call 0870 063 8661 now.

Independent Stamp Duty Mitigation; Stamp Duty Exemption Planning Information. If you could potentially save £1000's by using Stamp Duty Land and Tax planning strategies, why would you NOT want to save your money? For information of users: This material is published for the information of clients. All stamp duty and land tax mitigation enquiries are referred to a network of selected tax professionals.