Taxes on the purchase of property in England

The tax applied to the purchase of real estate in London or England, is called Stamp Duty Tax. Before entering into the specifics and in the calculation mechanisms of the tax itself, we must premise that as in other realities, there is a distinction between first home buyer and not. In fact, the subject (natural person) who falls into the first category will pay tax at the time of purchase as follows : up to £300.00 untaxed taxable amount from £300,001- to £500,000 a rate of 5%. The criteria for the applicability of the reliefs are as follows: First time buyer
Maximum transaction value £500,000 Principal residence
Regarding the concept of applicability as principal residence, the legislation does not specifically provide for a minimum time frame, but leaves the concept of "reasonable use" to the interpretation of the jurist.
For all other persons, the purchase tax is applied as in the table below : Taxable bracket

Scaglione Imponibile

Aliquota %

0-40,000 £

0

40,001-125,000 £

3

125,001-250,000£

5

250,001-925,000£

8

925,001-1,500,000£

13

1,500,000 £ – 

15

In this case Stamp Duty applies to both natural persons and legal persons, provided that the purpose of the purchase is to bring the asset into income. We will then discuss what the tax advantages may be if you make a real estate purchase in London or in England as a legal person (understood as an SPV under English law) and we will also elaborate on
the special cases of applicability of the tax in certain transactions.
-Conclusions :
The purpose of covering these topics is to inform the potential investor about all legal and tax regulations in force in England.The rates of stamp duty, as well as the tax brackets and its objective and subjective applicability, are
subject to change depending on the various measures that the government may decide to take. For
this reason, the official website is listed below.
Indeed, information on Stamp Duty and its tax brackets can be found at:

http://www.gov.uk/stamp-duty-land-tax

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