New FBT.

[Agri Spec Solicitor]

Remember a solicitor is not just for Christmas

 

[AJ123]

I agree with most of what you say but I didn’t think you need to even consider stamp if term is less than 7 years. And don’t get me started on the tax itself, I consider it most unfair, I doubt farmers were the intended target but I think FBTS should be excluded.

You do need to consider it, just you don’t need to do a return under 7 years unless the lease is valuable enough to pay the tax. Stamp duty liability is dependent on the value, not the length of term.

 

[Little squeak]

How much is the level of rent per year at which stamp duty is liable on the lease?

 

[Agri Spec Solicitor]

Stamp Duty Land Tax on Leasehold sales

Find out about Stamp Duty Land Tax (SDLT) on leasehold properties.

www.gov.uk

 

[Little squeak]

thanks for that agri spec solicitor, no wonder a previous poster has wrote their accountant got it wrong, there doen't seem a simple one size fits all anwser to this

 

[glasshouse]

I agree with most of what you say but I didn’t think you need to even consider stamp if term is less than 7 years. And don’t get me started on the tax itself, I consider it most unfair, I doubt farmers were the intended target but I think FBTS should be excluded.

Stamp duty should be paid by the seller, not the buyer.
The property industry must have some really incriminating pictures or dirt on crash Gordon brown who instigated stamp duty paid by the buyer

 

[Sid]

Remember a solicitor is not just for Christmas

Nope and they aren't always right either!

Questioned a Stamp duty payment on a purchased property after reading an article in the Dairy farmer.

Solicitor had incorrectly calculated SD.

 

[AJ123]

How much is the level of rent per year at which stamp duty is liable on the lease?

I think the nil rate band is leases with an npv below £150,000. Then 1%above that, then 2% above £5m. (I think) There is a online calculator on gov.uk

 

[glasshouse]

I think the nil rate band is leases with an npv below £150,000. Then 1%above that, then 2% above £5m. (I think) There is a online calculator on gov.uk

So if u rent 1000 acres @£100/ac for 30 yrs
You have to pay £60k?

 

[Flat 10]

So if u rent 1000 acres @£100/ac for 30 yrs
You have to pay £60k?

I think its more like £5k as you work it out on first 5 years. Either way its another kick for the tenant but not as bad as you feared.

 

[AJ123]

I think its more like £5k as you work it out on first 5 years. Either way its another kick for the tenant but not as bad as you feared.

I think It’s done on the present value of the rent for the term, otherwise you would just step the rent at year five to avoid the tax.
£100,000 for 30 yrs, gov.uk calculator comes back at £16892.
I’d leave it to the solicitors, if they get it wrong their indemnity insurance can pay the fine For you.

 

[Formatted]

Thanks to all for your help, l am going to do this through a solicitor, that really greaves me as l vowed l would never pay a solicitor again but got to that age where l need to get as much turned over to the family as possible, thanks to all for your advice.

Before you do! Give the TFA a call, it will be worth your son becoming a member and chances are they'll be able to give you a steer on a) a off the shelf agreement b) a sensibly priced and reliable professional to assist with the fine detail