Stamp Duty for EU citizens (UK residents)
How much stamp duty do non-UK residents pay?
2 percent
From April 2021 non-UK residents are required to pay an extra 2 percent in stamp duty when they purchase a property in England or Northern Ireland. Non-UK resident status is determined if someone is not present in the UK for at least 183 days in the 12 month period leading up to the purchase of a property.
Who is a UK resident for stamp duty?
HM Government has set out specific criteria which determine whether you classify as ‘UK resident’ for the purposes of the Stamp Duty surcharge. In the 12 months prior to the date of your property purchase, you must have been resident in the UK for a minimum of 183 days to qualify as UK resident.
Who is exempt from stamp duty in England?
If you’re a first-time buyer in England or Northern Ireland, you will pay no Stamp Duty on properties worth up to £300,000. For properties costing up to £500,000, you will pay no Stamp Duty on the first £300,000. You’ll then pay Stamp Duty at the relevant rate of 5% on the remaining amount, up to £200,000.
What is a UK resident for SDLT purposes?
An individual is UK resident under the basic rule if they are present in the UK on at least 183 days in a continuous 365-day period beginning with the day that is 364 days before the effective date of the transaction and ending with the day that is 365 days after the effective date (relevant period).
How can non residents avoid stamp duty?
In order to have UK resident status (thus avoiding the surcharge), a purchaser must be present in the UK for at least 183 days during any continuous 365-day period immediately prior or immediately after the transaction date.
Do expats pay stamp duty?
If you are a British expat (or a foreign investor) an additional 2% surcharge has been added to the rates, covering all sales from April 2021. There is also a 3% additional charge if you’re not occupying the property. As a result, Stamp Duty can reach up to 17% on the most expensive properties.
How do I avoid stamp duty on a second home?
Purchase a buy-to-let as a first-time buyer
If you’re a first-time buyer purchasing one, you won’t have to pay second-home stamp duty. What’s more, you should be able to benefit from first-time buyer stamp duty rates. The only exception to this is buying a buy-to-let with someone who is not a first-time buyer.
Do I pay stamp duty if I have a property abroad?
You have to pay the extra rate even if the property you already own is abroad. It also applies if you only own a share in a property.
Can I buy a house in UK as non resident?
There are no legal restrictions on expats buying property in the UK. Foreigners and non-residents can also get a mortgage in the UK. However, those with less than two years of residency in the UK and without a job may face more stringent requirements and a bigger deposit.
Can EU citizens buy property in UK?
Buyers from every country in the world have always been welcome to purchase property in the UK, including EU citizens.
What is the UK stamp duty threshold?
Rates for a single property
| Property or lease premium or transfer value | SDLT rate |
|---|---|
| Up to £125,000 | Zero |
| The next £125,000 (the portion from £125,001 to £250,000) | 2% |
| The next £675,000 (the portion from £250,001 to £925,000) | 5% |
| The next £575,000 (the portion from £925,001 to £1.5 million) | 10% |
Does owning property in England give citizenship?
An investor is entitled to apply for British citizenship after: 5 years after obtaining the Investor Visa – if invested £5 million or more; 6 years after receipt of the Investor Visa – if invested from 2 to 5 million pounds.
What is the fastest way to get British citizenship?
3 Year Route To Naturalisation
Although there are many visa applications in this route it is the fastest way of becoming naturalised as a British Citizen within the UK visa system.
Which country is the hardest to get citizenship?
The most difficult countries to obtain citizenship include Vatican City, Liechtenstein, Bhutan, Qatar, Saudi Arabia, Kuwait, Switzerland, China, and North Korea. If you have ever submitted an application for citizenship, you will know just how difficult the process can be.
Can I have a British and Dutch passport?
Dual citizenship (also known as dual nationality) is allowed in the UK. This means you can be a British citizen and also a citizen of other countries. You do not need to apply for dual citizenship. You can apply for foreign citizenship and keep your British citizenship.
Can I have 3 citizenships in UK?
Yes. The United Kingdom allows triple citizenship (multiple citizenship). This means that when you become a British citizen, you don’t need to give up previous nationalities. Also, having other citizenships will not affect your application for British citizenship.
Can I have 2 EU passports?
Many EU member states have also allowed dual citizenship if, and only if the new citizenship comes from a country that is also an EU member state.
Can I lose my British citizenship if I live abroad?
Voting and citizenship
Your UK citizenship will not be affected if you move or retire abroad.
How long can a British citizen live in another country without coming back to the UK?
You are allowed to spend time outside of the UK so long as these periods of absence do not exceed 6 months at any one time. It does not matter how much time you spend outside of the UK in total during the required 5-year continuous residence period provided you return each time after a maximum of 6 months.
What happens to my UK state pension if I move abroad?
You can claim and receive a UK State Pension while living overseas. But Pension Credit stops when you move overseas permanently. This is a means-tested benefit, which can top up your weekly income. Your State Pension can be paid to a UK bank or building society account, or to an overseas account in the local currency.
Do you need to tell HMRC if you move abroad?
You must tell HM Revenue and Customs ( HMRC ) if you’re either: leaving the UK to live abroad permanently. going to work abroad full-time for at least one full tax year.
Can HMRC chase me abroad?
You may have asked yourself, “Can HMRC chase me abroad?”, and it’s a common fear for expats far and wide. Technically, yes they can. In 2019, HMRC wrote to 1700 freelancers, threatening them with heavy fines if they didn’t declare their tax avoidance by 5th April.
How do I keep my UK residency?
You’ll be resident in the UK if: you do not meet any of the automatic overseas tests.
UK tests
- you spent 183 or more days in the UK in the tax year.
- your only home was in the UK and it was available to use for at least 91 days in total – and you spent time there for at least 30 days in the tax year.