Temporarily Suspend Stamp Duty

you think reducing the little that's coming in from stamp duty at the moment to nil and propping up a failed housing system is a good idea? why?
how would this solve the inability of purchasers to obtain mortgages? i doubt it would have any effect at all and would lead to a worsening tax take.
 
dereko1969 said:
you think reducing the little that's coming in from stamp duty at the moment to nil and propping up a failed housing system is a good idea? why?
how would this solve the inability of purchasers to obtain mortgages? i doubt it would have any effect at all and would lead to a worsening tax take.
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1. The thread didn't specifically refer to the housing market, it referred to the property market there is a difference.

2. It would help solve some purchaser's ability to obtain mortgages in the sense that if they aren't 1st time buyers and are buying a house for say 600,000 the stamp duty would be €35,625. Say they were borrowing 450,000 they wouldn't then need to save the money for stamp duty which instead can be utilised directly towards purchasing the property and increasing their deposit.

3. The point is that the property market has already effectively seized and tax takes have collapsed anyway. And as a result many people are losing their jobs (not referring to construction), surveyors, solicitors, estate agents, etc, etc. Would it be better that more jobs are lost and additional pressure is put on the exchequer this way. Furthermore, as effectively nothing is happening tax take has collapsed anyway, but if the state was to forego stamp duty for 6-12 months it may well encourage trader-uppers and commercial entities to get back involved with property. The benefit to the government is that jobs are saved and these people don't become an additional burden and transactions which otherwise wouldn't take place now go ahead and remember the government charges 21.5% vat on the fees of the solicitors, surveyors, estate agents, etc. not to mention the government land registration fees (some money better than none, no?)
 
Do away with stamp duty altogether. It's a transaction based tax so when there are no transactions, there is no income.
Switch to a property tax. It will mean a steady income for the government at least.
 
Why don't sellers pay the stamp duty for buyers out of their "profit" to get the market going?
 
Such a move would skew the market away from first time buyers.
If the government did something like this people might wonder whether, instead of trying to help the eternally persecuted first time buyer, FF were actually trying to feather the nests of Tom Parlon and associated builder buddies.

Perish the thought.

Best way to get the market moving? Realise the country's fubared for the foreseeable future, and slash your price by 10% per month till you get a buyer. It's beginning to happen.
 
I agree with gaius, having yearly property taxes ensure regular income flow for govt... they can zone the areas like urban, rural etc and tax accordingly...
 
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