New tax for BTL and second homes in Scotland

December 17, 2015

It is not surprising that when George Osborne announced the additional 3% stamp duty for buy-to-let and holiday homes starting next April,  there was little critiscm from over the border as there normally is when any new tax  is introduced by Westminster.

The Scottish Government has now also decided  to introduce an additional 3% tax on buy-to-let and holiday homes valued at more than £40,000, this was confirmed by  Finance Minister John Swinney.

That would mean for a second home costing £250,000 there would be an increase from £2,100 up to  £9,600, for a £500,000 purchase it will increase  from £23,350 to £38,350.

Mr Swinney said the move was ‘proportionate and fair’, adding that it would make it easier for first-time buyers to enter the housing market.

He warned middle-income families he would come for them after the Scottish parliament elections in five months, vowing to introduce a ‘progressive’ system next year.

Allen Walkey

Highly experienced businessman with a successful career in property sales and investment both in the UK and abroad. Now a freelance writer and blogger for the property and Investment Industry, keeping readers up-to-date with changes and events in a rapidly changing world.

You May Also Enjoy

Breaking News

New analysis shows majority of estate agents complete HMRC AML registration

Just 5% of branches still need to register More than 24,000 UK estate agency branches have registered with HMRC for money laundering supervision – an increase of around 2,300 branches in just over a year, according to new analysis from client due diligence platform Thirdfort. Some 24,003 estate agent branches across the UK have registered…
Read More →
Breaking News

Gen Z could wait until 2044 to buy a home

Getting on the property ladder has never been tougher, and, for Gen Z, it could take up to 18 years to save a deposit in the UK’s least affordable cities, according to new research from Beswicks Legal, comparing 40 urban centres. The figures reveal that in places like Cambridge and London, Gen Z buyers may…
Read More →
Breaking News

Pressure on landlords takes shine off BTL rate cuts

Buy-to-let fixed rates dipped to their lowest points since September 2022, and choice rose to a record high, according to Moneyfactscompare.co.uk. However, landlords are facing financial challenges, and rumours of more tax reforms in the Budget could hit investors hard. •    Average buy-to-let fixed rates over two- or five-year have dipped to their lowest…
Read More →
Letting Agent Talk

Three steps to pet-proof your property ahead of new pet laws

Landlords across the UK are set for one of the biggest shifts in rental regulation in years as the Renters’ Rights Bill edges closer to becoming law. While the bill aims to give tenants a greater right to keep a pet, a new analysis highlights the stark reality of demand versus supply: with a dog…
Read More →
Estate Agent Talk

Budget-Friendly Ways to Boost Property Appeal

Upgrading a property’s appearance doesn’t always require a hefty budget. One of the most impactful yet affordable changes involves refreshing tired flooring, an element that potential buyers and tenants notice immediately upon entering a property. Carpet remnants have become a smart solution for cost-conscious property owners looking to make meaningful improvements, as they offer the…
Read More →
Breaking News

Naked tenants, basement brothels and maggot rain

When a company specialises in 24/7 property management support, it’s got to be ready to handle pretty much anything, as can be attested to by Adiuvo, whose managers have, on more than one occasion, received tenant requests that have caused them to pause and say, wait, what? Adiuvo has now pulled back the curtain on…
Read More →