Since 1 April 2015, UK Stamp Duty Land Tax (SDLT) was replaced by Land and Buildings Transaction Tax (LBTT) in Scotland. Under LBTT, properties worth up to £145,000 will not pay any tax.
LBTT is structured into 5 different bandings to represent a progressive structure relevant to the actual price of the property. The percentage rate for each band in LBTT is applied only to the relevant banding of the price over the relevant threshold and up to the next threshold.
First-time buyers are exempt from paying tax on property purchases up to £175,000.
To calculate the LBTT payable on your property, the Scottish Government has provided a useful tax calculator which is available on their website.
The home report is not just an important part of the sales process, but it is also a legal requirement which should be made available promptly to prospective purchasers.
The home report is made up of three parts:
- Single Survey
This a report on the condition of the property that must be carried out by a qualified chartered surveyor who is registered with or authorised to practice by the Royal Institute of Chartered Surveyors.
- EPC (Energy Performance Certificate)
As with the Single Survey, the EPC is required to be carried out by an approved Chartered Surveyor. The purpose of this report is to provide information on the energy efficiency of the property.
- Property Questionnaire
The property questionnaire covers a range of questions and is completed by the seller directly. This should be filled out accurately and promptly to reduce the risk of delays with conveyancing.