§ Mr. George Robertsonasked the Chancellor of the Exchequer what is the total amount per annum received from stamp 124W duty on conveyancing transactions; and by how much that would be reduced in a year if the limits were adjusted for inflation since the last adjustment.
§ Mr. Peter ReesThe estimated yield in 1978–79 from stamp duty on conveyances of land and other property was £190 million.
The current scale of rates for stamp duty on conveyances came into force on 1 May 1974. If the thresholds were increased according to the increase in the general index of retail prices between May 1974 and April 1979, the cost on the basis of 1978–79 figures would be £95 million. If, however, the scale was revalorised according to the increase in average house prices between the second quarter of 1974 and the first quarter of 1979, the cost would be £80 million.
§ Mr. George Robertsonasked the Chancellor of the Exchequer to what level the starting point and incidence of stamp duty on conveyancing transactions would have to be increased if it was increased in line with the increase in house prices since the last adjustment.
§ Mr. Peter ReesThe current scale of rates of stamp duty applying to conveyances of land and other property took effect from 1 May 1974.
On the basis of the most recent figures available the adjusted thresholds would be as follows:
Rate of duty on values above threshold Thresholds: Present Adjusted by BSA house price index* £ £ ½ per cent. 15,000 25,300 1 per cent. 20,000 33,800 1½ per cent. 25,000 42,200 2 per cent. 30,000 50,700 * Based on the increase in the average price of all dwellings between the second quarter of 1974 and the first quarter of 1979, obtained from Building Societies Association/Department of Environment figures.
§ Mr. Weetchasked the Chancellor of the Exchequer what proportion of total tax revenue is the yield from stamp duty on land transfer; and what have been the proportions in the last 10 financial years.
§ Mr. Peter ReesNo estimate for the current year of the yield of stamp duty on conveyances of land as a proportion of total tax revenue is available but that 125W information for the last 10 years is given below.
Year Proportion (per cent.) 1969–70 0.17 1970–71 0.21 1971–72 0.32 1972–73 0.42 1973–74 0.42 1974–75 0.30 1975–76 0.28 1976–77 0.31 1977–78 0.37 1978–79 (estimate) 0.46
§ Mr. Weetchasked the Chancellor of the Exchequer what is the current yield to the Exchequer of stamp duty on land transfer in the case of residential property; and what has been the yield to the Exchequer in the last 10 years.
§ Mr. Peter ReesIt is not the practice to give estimates of current yields before publication of the Financial Statement and Budget Report. The estimated yield of stamp duty from residential property in the years 1973–74 to 1978–79 inclusive is given below. I regret that the information on which to base estimates for earlier years is not available.
£ million 1973–74 45 1974–75 35 1975–76 45 1976–77 60 1977–78 85 1978–79 120
§ Mr. Alexanderasked the Chancellor of the Exchequer what is the yield of stamp duty on property conveyances in respect of transactions (a) not exceeding £20,000, (b) not exceeding £25,000 (c) not exceeding £30,000 and (d) over that figure; and what is the cost of collection of this stamp duty, at each of these stages, taking into account salaries and overheads of the personnel and offices involved.
§ Mr. Peter ReesThe estimated yield of stamp duty in 1978–79 on conveyances in the ranges given is as follows:
Cost of collection figures are not available in the form requested, but it is estimated that the total cost of collection for that year of all stamp duty on conveyances was of the order of £2½ million.126W
£ million Exceeding £15,000 but not £20,000 17 Exceeding £20,000 but not £25,000 22 Exceeding £25,000 but not £30,000 24 Exceeding £30,000 124
§ Mr. David Priceasked the Chancellor of the Exchequer what are his estimates of the cost to the Revenue in 1979–80 and in a full year of raising the exemption limit on stamp duty for house purchases from £15,000 to £20,000, £25,000, £30,000, £35,000 and £40,000 respectively.
§ 24 Mr. Peter Rees, pursuant to his reply [Official Report,May 1979; Vol. 967, c. 194–5], gave the following answer:
Assuming that the present rates of duty and £5,000 bands were retained, the estimated full-year cost of implementing the suggested thresholds for conveyances of all land and buildings—with appropriate adjustments for leases—in 1978–79 would have been as follows:
Threshold Cost (£ million) £20,000 45 £25,000 70 £30,000 90 £35,000 100 £40,000 110 It is not the practice to give such estimates in advance of the Financial Statement and Budget Report for the year concerned.