Stamp Duty Rate for FTB

M

MalMc

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Ive used the search function and couldnt find anything definitive. I have also checked www.revenue.ie and the oasis.gov.ie site also but still want to run it past you guys.

Me and the g/f are FTB and recently went sale agreed on an apt for 327k. We will be owner occupiers. We got a phone call from our solicitor during the week to say that the stamp duty rate will be 4%. I cannot for the life of me find where she got this figure from. The figure i have seen everywhere for our circumstances has been 3%.

Anyone got any ideas?
 
is the house a new build or a second hand house as i think there are different rates applied to each
 
If it is a new build there is no stamp duty. If second hand see [broken link removed] and scroll down to Rates of Duty for Residential Property
 
Sorry, i forgot to mention it was a second hand property. Roughly 4 years old.
 
I suspect that your solicitor got it wrong and the rate is actually 3% as you say. In case it's relevant mortgages over €254K are liable for 0.1% SD up to a limit of €630. Have you asked your solicitor where she got 4% from?
 
It might be worth noting that, on a new build, stamp duty is payable only on the net amount i.e. purchase price minus vat. This applies to all purchasers of new build properties. Some solicitors are not aware of this, or so I'm told!! Thought it was just my solicitor.
 
Can you explain further. I didnt know there was any tax implications for buying new.

liteweight said:
It might be worth noting that, on a new build, stamp duty is payable only on the net amount i.e. purchase price minus vat. This applies to all purchasers of new build properties. Some solicitors are not aware of this, or so I'm told!! Thought it was just my solicitor.
Click to expand...
 
phoenix_n said:
Can you explain further. I didnt know there was any tax implications for buying new.
Click to expand...
Can give you an example:

Property price: 345k
which inc.Vat
@13.5% 41k

Net price 304k approx

Stamp duty on 345k would be charged at 6% and cost approx 21K, while stamp duty on 304k would be charged at 5% and costs approx 15K.
As you can see its a big difference! Because builders charge vat included in the price you are allowed to deduct this for stamp duty purposes. Otherwise revenue would be charging stamp duty on a tax not a property!

Hope this helps.
 
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