Stamp Duty Land Tax (SDLT) is a tax charge when buying a property investment. There are two types of Stamp Duty that UK landlords and property investors need to consider. The first is that banded tax rate that starts from £125,000.
The government also introduced the 3% SDLT surcharge for people that already own one property. This is a Stamp Duty additional rate tax charge that starts from £40,000 and is 3% on the entire amount.
Stamp Duty needs to be paid to HMRC within 14 days of the residential property or commercial property purchase. Conveyance solicitors will submit the SDLT1 form the HMRC along with the tax payment.
It is essential to be tax efficient when it comes to property tax. It does not matter how you own buy-to-let properties, but you want to be tax efficient.
Ensure that you use a Stamp Duty Land Tax calculator to ensure that the conveyance solicitor is telling you the right amount.
Optimise Accountants provides tax support to landlords/property investors to help grow their wealth and minimise tax: income tax, capita; gains tax (CGT), inheritance tax (IHT), corporation tax and Stamp Duty Land Tax (SDLT). Optimise also helps expats understand taxes in the United States, United Kingdom, Spain and Hong Kong
www.optimiseaccountants.co.uk