Scotland Introduces LBTT Changes
By Denise McKenzie
The Scottish Government has introduced a change to the Land and Buildings Transaction Tax (LBTT) in a bid to increase housing market activity and boost the post-lockdown economy. The threshold at which LBTT becomes payable has been raised from £145,000 to £250,000, encouraging people to buy properties and stimulate the housing market and wider economy.
What does this change mean for buyers? A first-time buyer, for example, looking to secure their first home will not have to pay any land tax if their property is under £250,000, making a saving of up to £2,100. This in turn means they may have more money to use for a deposit, helping them get a foot on the property ladder.
The second home tax or Additional Dwelling Supplement remains unchanged at 4% of the purchase price. However, if you are purchasing a property and already own a home, you will still benefit from 0% LBTT up to £250,000. Furthermore, people buying a property over £250,000 will only pay LBTT on the amount over £250,000.
These changes to LBTT will remain in place until 31st March 2021 – get buying now to save some money!
Take advantage of the changes to LBTT and start your property search with Coulters. Search our properties at our website or contact us today. Email us at email@example.com or call us at 0131 603 7333 for more information about our latest properties and trusted market advice.