Budget set to crack down on stamp duty avoidance
19 Mar 2012
Chancellor George Osborne will use this week’s Budget to crack down on stamp duty avoidance, with the introduction of ‘aggressive’ new measures.
The Chancellor confirmed that the measures will target individuals who buy homes through a company in order to avoid paying stamp duty, a practice which he described as ‘unacceptable’.
Stamp duty currently starts at 1% of a property’s value for homes that cost in excess of £125,000, reaching a top rate of 5% for properties valued at over £1m.
Meanwhile, speculation is continuing to mount in respect of whether the Chancellor will reduce or abolish the 50p top rate of income tax, which applies to those earning in excess of £150,000.
Although declining to comment specifically on his plans for the 50p tax rate, the Chancellor stated that the forthcoming Budget will be ‘a Budget for working people’.
‘My priority is to help low and middle earners. That’s where the bulk of effort in the Budget is going to be’, he said.
The Chancellor also announced that the Budget will include measures to allow the relaxation of Sunday trading laws for a period of two months, during the Olympics and Paralympics.
The 2012 Budget will be presented on Wednesday 21 March. Visit our website for the latest information on the announcements.