Stamp Duty Land Tax is another battleground identified by the Conservatives. Their proposals to help first time buyers by exempting properties up to £250000 means that if Darling does move on SDLT he will not want to be open to the challenge that hes copied the Tories.

He could levy SDLT at different rates according to the value and number of properties any one individual may have or levy it in progressive slices much like income tax.

Ian Luder Tax Partner at Grant Thornton says "SDLT could be levied at a reduced rate of 2 on a first house and then 5 on a second thereby offering help to first time buyers and recouping any lost revenue from the 2 rate when the 5 rate kicks in on the second property."

However it is likely that Stamp Duty will not be changed in the PBR and that this issue will return perhaps in Budget 2008.

05 October 2007 Moneyextra.com

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