GOWER Assembly Member, Rebecca Evans, has welcomed new support for homebuyers in Wales.
A new starting threshold for land transaction tax has been announced by the Welsh Government, removing tens of thousands of homebuyers from paying tax.
From April 1 2018, when land transaction tax replaces stamp duty land tax in Wales, the starting threshold will be £180,000. This means anyone buying a home costing £180,000 or less in Wales – regardless of whether they are a first time buyer – will not pay land transaction tax under the main rates of tax.
The decision by the Welsh Government means that in Wales 65% of all homebuyers will pay no tax under the main rates – whether they are first time buyers or not.
Rebecca Evans AM said: “This announcement is not just very good news for first time buyers – for whom the average purchase price in Wales is £135,000 – but also for those homeowners who are wishing to move house. 65% of homebuyers will pay no tax on their purchase, and eight in ten people buying their first home will pay no tax. The Welsh Government’s approach is more exciting, and will have a much wider reach, than that recently announced by the UK Government for first time buyers in England.”