SHIELDS GAZETTE
Q. I am thinking about buying my first house and am looking at properties in the region of £110,000.00. I have been told that I will have to pay stamp duty on the purchase price. Is this right and if so how much will I have to pay?
A. Although there is pressure on the Chancellor of the Exchequer to raise the threshold in the forthcoming budget, at present a buyer of property with a purchase price exceeding £60,000.00 will generally be liable to pay Stamp Duty Land Tax ( the new name for stamp duty). The present rates are as follows:-
| £60,000 and below | exempt |
| £60,001 - £250,000 | 1% of the purchase price |
| £250,001 - £500,000 | 3% of the purchase price |
| Over £500,001 | 4% of the purchase price |
Additionally, if the property lies within what is known as an " exempt area" then no duty is payable provided the price of the property is £150,000.00 or less. In South Tyneside, all electoral wards are classified as being exempt areas with the exception of Westoe, West Park, Cleadon and East Boldon and Boldon Colliery. Therefore, Stamp Duty Land Tax of £1,100 will only be payable if you decide to buy a property within one of those wards.
If you decide to buy a property outside of the South Tyneside area, then please telephone our Property Department on 0808 231 7043 with the details of the property address and the postcode and we will be pleased to advise you immediately whether you must pay Stamp Duty Land Tax or not.
