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I think stamp duty reform could be on the agenda at the next budget. HMRC figures show revenue fell to 3.91 billion in the four months to July, 10% down on the same period last year.

 

 

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11 minutes ago, JustAnotherProle said:

Indeed, 20% on second homes, 30% on third homes..etc etc.

An exemption for the boomer filth is more likely 'to free up much needed family homes for young buyers'.

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9 hours ago, 2rocketman said:

I think stamp duty reform could be on the agenda at the next budget. HMRC figures show revenue fell to 3.91 billion in the four months to July, 10% down on the same period last year.

Possibly - a stupid tax that should be replaced with something else to prevent any cuts being capitalised into higher prices. But Gov introduced FTB relief estimated to be £125m in Q2, and drop needs to be seen in perspective:

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https://twitter.com/HenryPryor

https://www.gov.uk/government/statistics/quarterly-stamp-duty-statistics

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Well, I have read there is talk of an increase to 5% on second homes. I can’t see them making it any higher but it would be welcome as it would hammer the market.

I am intrigued to see where they go with the rate next. If they leave it unchanged or increase it, then it’s a clear sign they are going to let the market do its thing.

I can’t help but think they will reduce it to try and keep prices up and boost activity. 

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On 23/08/2018 at 10:14, guest_northshore said:

Possibly - a stupid tax that should be replaced with something else to prevent any cuts being capitalised into higher prices.

We're not going to live in the UK forever (although anything could change) but we've got at least another 5-10 years here. I'd like to move to a bigger house but in London that means handing an immediate £25k+ sunk cost. It makes me reluctant to move because this cost is incurred every time you do. Very annoying.

A land tax would be better, as long as they offered a sticky tax credit for people who'd paid the stamp duty lump sum within the last X years, proportional to what you paid and tapering off.

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Maybe it's time to do taxes excluding MPs? They are thieving so much money a little bit more won't matter. Then they might be more willing to tax second homes. We could have a new trougher,  'Minister for Taxes Excluding MPs'.

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6 minutes ago, rollover said:

George Osborne's stamp duty hikes 'paralysing the housing market and costing the Treasury hundreds of millions in lost revenue'

Daily Mail

😙

Hmm, I wonder if it's the couple of percent stamp duty that's killing the market or the other 98% of the price of buying a house.

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4 hours ago, Dorkins said:

Hmm, I wonder if it's the couple of percent stamp duty that's killing the market or the other 98% of the price of buying a house.

Very well put :)

 

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On ‎23‎/‎08‎/‎2018 at 09:56, JustAnotherProle said:

Indeed, 20% on second homes, 30% on third homes..etc etc.

100% on second homes, 200% on third home etc.

Eliminate stamp duty entirely on first homes, but absolutely kick the shit out of landlords (massive windfall taxes, higher rates of CGT, immediate hikes on taxes on rental incomes) and introduce a land value tax. Probably aim to receive slightly more from LVT etc. than is currently received in stamp duty.

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On ‎23‎/‎08‎/‎2018 at 00:03, 2rocketman said:

I think stamp duty reform could be on the agenda at the next budget. HMRC figures show revenue fell to 3.91 billion in the four months to July, 10% down on the same period last year.

 

 

Don't panic. Stamp Duty receipts will soon pick up as transactions increase while prices drop. Then there will also be the added CGT on the sale of all those investment properties. Good times ahead for the government coffers. 

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Sitting ducks..... Less can be more... CT banding is what requires a review.... For example how can a D band million pound property have the same annual CT charge as a £250000 property... When was once calculated on the rateable value of a home.... Just goes to show how inequality of pricing has got so far out of alignment, those with more pay less in proportion of those holding less.... ;)

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21 hours ago, Dorkins said:

Hmm, I wonder if it's the couple of percent stamp duty that's killing the market or the other 98% of the price of buying a house.

Stamp duty is 10%, and its killing the market for houses in London.

£60K stamp duty for a house? people who buy million pound houses don't have money like that.

Its bonkers and also hilarious.

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2 hours ago, Peter Hun said:

Stamp duty is 10%, and its killing the market for houses in London.

£60K stamp duty for a house? people who buy million pound houses don't have money like that.

Its bonkers and also hilarious.

I assume that was sarcasm :)

 

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25 minutes ago, mrtickle said:

I assume that was sarcasm :)

 

No, of course not. The vast majority of people buying at this price depend on existing equity and have been stretched to pay their existing liabilities. Raising that amount of money (60k) would take a long time and it would be very painful to lose on stamp duty. Nobody leaves cash lying about, they invest it in property.

Hence the massive slow down on sales of £1M+ properties.

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1 hour ago, RomfordDon said:

The most obvious move is to add stamp duty to the mortgage 

If they allow that, buyer loses 10% LTV which could be a dream breaker, plus affordability issues.

Net effect is 10% lower prices, Opposite effect to Help To Buy

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On 23/08/2018 at 00:03, 2rocketman said:

I think stamp duty reform could be on the agenda at the next budget. HMRC figures show revenue fell to 3.91 billion in the four months to July, 10% down on the same period last year.

 

 

Ha name a tax (eg. council , income ) or collection / other (eg. business rates, national insurance)  that isn’t in a mess and in need of structural reform! 

Stamp duty land tax they can tinker with for win win. 

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6 hours ago, winkie said:

Sitting ducks..... Less can be more... CT banding is what requires a review.... For example how can a D band million pound property have the same annual CT charge as a £250000 property... When was once calculated on the rateable value of a home.... Just goes to show how inequality of pricing has got so far out of alignment, those with more pay less in proportion of those holding less.... ;)

I have a mate who is renting a big place in a park in Liverpool. The place must have been derelict in 91 so is on a really low rate. Using some arbitrary date is stupid. 

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5 hours ago, Peter Hun said:

Stamp duty is 10%, and its killing the market for houses in London.

£60K stamp duty for a house? people who buy million pound houses don't have money like that.

Its bonkers and also hilarious.

They must have made money via growing equity to enable them to purchase a plus million home.... not a first time purchase home.... Free equity gained just through holding it, surely society via tax would want to take a bit back.... a renter makes nothing paying rent, some paying rents for many years whilst others are making money just by sitting on it... Only fair would you not say? Owning a home/s is not winning the lottery. ;)

Edited by winkie

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6 hours ago, Peter Hun said:

Stamp duty is 10%, and its killing the market for houses in London.

£60K stamp duty for a house? people who buy million pound houses don't have money like that.

Its bonkers and also hilarious.

Owners of expensive London property only have themselves to blame. They were perfectly happy when the newspapers rolled out the 'asset rich cash poor elderly widow' argument against Cable and Miliband's mansion taxes that would have been collected monthly, so instead Osborne introduced new SDLT rates that wouldn't touch the apocryphal widow.

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On 25/08/2018 at 12:29, dugsbody said:

We're not going to live in the UK forever (although anything could change) but we've got at least another 5-10 years here. I'd like to move to a bigger house but in London that means handing an immediate £25k+ sunk cost. It makes me reluctant to move because this cost is incurred every time you do. Very annoying.

A land tax would be better, as long as they offered a sticky tax credit for people who'd paid the stamp duty lump sum within the last X years, proportional to what you paid and tapering off.

Agree it's not optimally efficient but right now it's one of the few taxes we have on land rather than on working and income. Given that SDLT tax incidence falls on the owner, I don't see how a tax credit could be justified when the SDLT cost would otherwise just have been added to selling price.

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  • 276 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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