Experts Advice - Special Stamp Duty

 

What has it got to do with car parking space investment ?

 

First, let’s look at the details of SDD provided by Inland Revenue Department.

 

Proposed by Financial Secretary on 20th Nov 2010, gazetted on 3rd Dec 2010 for consultation, it is aimed at curbing property speculation. Any RESIDENTIAL property acquired on or after 20 November 2010, either by an individual or a company (regardless of where it is incorporated), and resold within 24 months will be subject to the proposed SSD.

 

 

How much?

 

15% on transaction price if property held less than 6 months

10% on transaction price if property held more than 6 months but less than 12 months

on transaction price if property held more than 12 but less than 24 months

Please note these rates are applicable on top of average 5% stamp duty !

 

 

Who pays it?

 

You and whoever you deal with in a property transaction will jointly be liable

 

 

Implications?

 

Devils are always in details !

 

It is only applicable to RESIDENTIAL property.

 

So you speculator could carry on business as usual in other categories of property, such as retail shop, office, industrial and CAR PARKING SPACE !

For reference only. It is not investment advice.