Property chains are already showing signs of crumbling due to the government’s stamp duty hikes, estate agents have warned. Chancellor George Osborne placed a stamp duty rate of 7% on £2 million homes in Wednesday’s Budget, rising to 15% for homes in this price bracket bought through companies.
The government wants to clamp down on the practice of “enveloping”, whereby people try to avoid stamp duty by using a company to buy a residential property. The home is then sold on as shares in the company in a bid to sidestep the duty normally paid………………………………………..Full Article: Source