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Home Forums Patrick Cannon Higher Rate SDLT for additional properties Reply To: Higher Rate SDLT for additional properties

#760
Patrick
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As presently structured I cannot see anything that prevents this from being a “higher rates transaction” within Sch 4ZA so that the alternative Table A ie normal rates plus 3%, will apply. There may be some scope for your client though if the existing dwelling is demolished before it acquires the land and the sale contract does not provide for the construction of the new dwellings (see para 17 of Sch 4ZA). I agree with your personal opinion and this reinforces the suspicion that the 3% additional rate is really a simple tax rise despite the “fairness” rhetoric. If the Chancellor had really wished to assist first-time buyers why not turn the Alternative Table A on its head and put 15% onto buy to let investors in the ?0-?125,000 slice with the additional rates then reducing as prices increase and first time buyers fall away?