Stamp duty on transfers—consideration and calculation
Stamp duty on transfers—consideration and calculation

The following Tax practice note provides comprehensive and up to date legal information covering:

  • Stamp duty on transfers—consideration and calculation
  • HMRC guidance—Stamp Taxes on Shares Manual
  • Consideration must be ascertainable
  • Ascertaining consideration using the contingency principle
  • Maximum consideration
  • Minimum consideration
  • Basic sum
  • Deferred contingent consideration
  • Unascertainable consideration
  • Cash as consideration
  • More...

FORTHCOMING CHANGE relating to the modernisation of stamp taxes on shares framework: The government is asking for views on the principles and design of a new framework for stamp duty and stamp duty reserve tax (SDRT) to inform a longer-term modernisation of the stamp taxes on shares (STS) framework. The call asks for views on what should be prioritised for modernisation including questions on amalgamating stamp duty with SDRT, the scope of stamp duty and SDRT, reporting and collecting STS and enforcement and payment of STS. The call follows a review and a report by the Office of Tax Simplification in 2017. The government envisages that it will consult further on specific policy and legislative changes with no major legislative redesign until Finance Bill 2021–22 at the earliest. The closing date for comments is 13 October 2020. For more information, see News Analysis: HMRC launches call for evidence on designing a new stamp taxes framework.

An instrument transferring stock or marketable securities, such as a stock transfer form, is chargeable to UK stamp duty unless an exemption or relief applies. For information on exemptions and reliefs from stamp duty, see Practice Notes: Exemptions from stamp duty, Growth market exemption from stamp duty and SDRT, Loan capital exemption from stamp duty and Stamp duty reliefs.

The rate of duty is 0.5% of the value or amount of

Related documents:

Popular documents