Duncan Lewis

Residential Property

Commercial Property

The transfer of control of stamp duty from Westminster and a new proposal to reform the existing stamp duty system has been welcomed by the SPF

Date: (8 June 2012)    |    

Total Comments: (0)    |    Add Comments

The Scottish Property Federation (SPF) has cautiously welcomed the reform of stamp duty as proposed by Holyrood a move which plans to end the
The Scottish Property Federation (SPF) has cautiously welcomed Holyrood proposals to reform stamp duty in a move that could see an end to the no longer relevant ‘slab’ system from 2015.
The changes were announced by John Swinney as part of the Land & Buildings Transactions Tax during a parliamentary debate this afternoon. It also showcases the inevitable differences between the commercial and residential property markets, especially at the higher rates of tax.
The control over stamp duty which was hitherto with the Westminster and now a key part of the Scotland Bill was heralded as the largest transfer of power north of the border since devolution.
David Melhuish, director of the Scottish Property Federation, said that the Land & Buildings Transaction Tax announcement by the Scottish Government was a promising start on this important new tax. Though there still remains lot of details to be identified including the rates and treatment of commercial leases, but the consultation document was set in the right direction for engagement with the property industry on how to replace SDLT in Scotland from 2015 he said.
He added that in their discussions with officials emphasis was laid that from a commercial perspective it would be important to make sure that investors and developers were reassured that a competitive, simpler and fairer tax was under consideration to replace SDLT.
The consultation was a good start on these issues and that the government was very pleased to see the continuance of hard fought concessions from SDLT such as the disaggregation of residential portfolios so that individual homes were charged at the correct rate in order to support larger scale investment in the private rented residential sector he added.