Zero stamp duty for property valued up to £500K during COVID-19 pandemic

The UK government announced zero stamp duty for property valued up to £500K during COVID-19 pandemic on Wednesday, 8 July 2020. This is a temporary stamp duty holiday that will run from now until 31 March 2021.

This Zero stamp duty for property valued up to £500K during COVID-19 pandemic will undoubtedly boost the UK property market and encourage people to buy properties in the UK now.

Property or lease premium or transfer valueSDLT rateCOVID-19 period
SDLT rate
Up to £125,000Zero
Up to £500,000Zero
The next £125,000 (the portion from £125,001 to £250,000)2%
The next £675,000 (the portion from £250,001 to £925,000)5%
The next £425,000 (the portion from £500,001 to £925,000)5%
The next £575,000 (the portion from £925,001 to £1.5 million)10%10%
The remaining amount (the portion above £1.5 million)12%12%
Source: GOV.UK

Stamp duty saving if you buy property valued up to £500K now

Let compares the saving, If you buy a house for £570,000 and you are not a first time buyer.

NORMAL SDLTCOVID-19 SDLT
0% on the first £125,000 = £0
2% on the next £125,000 = £2,500
5% on the final £320,000 = £16,000
Total SDLT = £18,500
0% on the first £500,000 = £0
5% on the next £70,000 = £3,500
Total SDLT = £3,500

You will save a massive £15,000 on stamp duty land tax (SDLT).

Companies House filings during COVID-19 pandemic

Companies House also step up to support UK businesses during COVID-19 pandemic. They will automatically extend your company’s filing deadline. This would help your business if it is severely affected by the COVID-19 outbreak and help you to avoid a late filing penalty. You do not need to do anything. You just need to go to Companies House website to check your new filing deadline.

On the same note, your confirmation statement filing deadline will also be extended. You would have 6 weeks to file your confirmation statement. Likewise, for the events driven filings, you will have 42 days (6 weeks) to notify Companies House instead of the usual 14 days filing deadline.

In addition, Companies House also created an interim paperless filing service to accept documents which would normally require a live signature.

During this pandemic, you are encouraged to submit your documents online to Companies House. You can use the webfiling service to file the following documents to Companies House.

To file online, you would require your company’s authentication code. The authentication code is the electronic equivalent of your company’s director(s) signatures. Keep safe your authentication code.

If you require help with your company’s filings, contact Our accountants. They will be more than happy to assist you.

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