Stamp Duty Land Tax Update – Nil and Reduced Rate Bands Introduced in Mini-Budget of 23rd September 2022

The Chancellor has announced new rules for Stamp Duty Land Tax, reintroducing nil rate and reduced rate banding for some.

The Government have today announced that they will from today |(23^rd September 2022) increase the amount that a purchaser can pay for residential property before they become liable to Stamp Duty Land Tax (SDLT), while maintaining the higher rate of 3% on additional dwellings.

The measure increases the residential nil-rate tax threshold from £125,000 to £250,000.

The nil-rate threshold for First Time Buyers’ Relief is increased from £300,000 to £425,000 and the maximum amount that an individual can pay while remaining eligible for First Time Buyers’ Relief is increased to £625,000.

The measure means that all individuals purchasing residential property on or after 23 September 2022 will pay less or no SDLT.

If you want to know more about how the new SDLT scheme will affect your property purchase plans and associated fees, contact our friendly and experienced Residential Conveyancing team for a no-obligation quote.