Stamp Duty Land Tax Finance Essay

The research has been conducted on a small number of participants and the results will be limited by the knowledge of those participants that have taken part within the study. This will not represent the views of the whole of the general population but it does represent a professional and public viewpoint of SDLT of the populous within a town in the north west of England.

The study was limited due to time restrictions when completing a full time degree. A cross sectional approach was felt to be the most beneficial to the study and this was used to gather the data and information that was required to complete the research. This method was seen to be the most adequate for the tight time scale that the author felt was available for research. The author also felt that if more time was allocated to the project a longitudinal study could have been performed to include estate agents and the general public across the whole of the UK.

Chapter 4-Results

This chapter will provide a detailed look at the evidence that has been collected within the research study; its aim is to provide the answer to two questions that were highlighted at the start of the research.

An exploration into the effect of Stamp Duty Land Tax on the North-West of England property market both from a professional and non professional point of view from members of the public who have paid SDLT within the recent past.

An exploration of how to reduce, if not avoid the liability of Stamp Duty Land Tax and the level of individuals knowledge of how to do so.

The author on conducting his research within this study created two questionnaires and carried out five individual interviews.

The first questionnaire contained five closed questions. The author wanted to initially gauge the general opinions of ten estate agents within the area of SDLT including the obligation of their clients to pay the tax and secondly to enquire whether tax avoidance schemes are promoted to potential clients.

The second questionnaire was aimed at fifty different estate agents. The author felt that additional in-depth data was required based on the answers received from questionnaire one. The five original questions from questionnaire one was included and an additional five questions was also added to gather further data required for the research. The five additional questions contained gave the author the opportunity to gather further quantitative data over a wider research area.

After completion of the three stages of research, the author’s analysis from his interviews and questionnaires were processed with the following results.

Interviews

Primary research was first performed with interviews with five local participants, all of the participants lived within the residential area of Warrington within Cheshire. All of the participants had purchased property and have been eligible and obligated to pay Stamp Duty Land Tax within recent years.

Interviews were structured by the author to gather a non professional response from each participant on the area of Stamp Duty Land Tax.

The following eight questions were asked with the opportunity for the participant to add further information if required:

1. Do you know what Stamp Duty Land Tax is? The result was as expected with 100% of the participants answering -Yes.

2. Have you ever experienced the burden of Stamp Duty Land Tax firsthand? Again the result was 100% -Yes all participants had paid the tax on the purchase of their homes.

Answer choices

Responses

Yes

60%

No

40%

No opinion

-

Total

100%

Figure 73. Do you have an opinion upon the fairness of Stamp Duty Land Tax? This question split the results with 60% replying –Yes and 40% replying –No see figure 7 below. Additional comments included ‘that tax restricts young people from purchasing their first home’ and ‘it is unfair and expensive’

4. Do you know any means by which to avoid the Stamp Duty Land Tax liability? The result was 100%-No with all participants unaware of any methods to avoid the payment of the tax.

5. Have you made any plans or do you intend to make any plans to avoid Stamp Duty Land Tax liability for yourself or your family in the future? This question again split the results with 40% replying –Yes and 60% replying –No. Possibly the response from this question was influenced by the previous question which made reference to avoidance of the tax.

6. Does Paying SDLT have a bearing on the purchase of your future house? The result of this question was 100% -Yes with all participants replying that the cost of the tax will influence their decision on moving home.

7. Do you think SDLT should be abolished and included within another tax? e.g. Income tax? The result of this question was 80% -No and 20% Yes. Additional comments included ‘that the tax would be unfair if it was included within another tax as it should only be aimed at people purchasing a home’ and ‘if it was included within income tax this would allow the property market to grow with potential house buyers not being burdened with another tax when moving home is already an expensive decision.

8. Do you think SDLT should be abolished to rejuvenate the housing market? The result was again as expected with 100% of the participants answering -Yes.

The author also decided to ask unstructured questions such as ‘did the participants think that abolishment of Stamp Duty Land Tax could lead to another economic housing crisis similar to what was experienced in the 1980’s’ and ‘also the fairness of band rates from zero rate to the maximum seven percent etc’. On reflection the author felt that the non professional participants who had taken part within the interviews did not have a strong understanding of the area, and the unstructured questions were too in depth to be asked at the interview stage.

The interviews have gathered valuable data from the five participants regarding Stamp Duty Land Tax. Their responses from the structured questions allowed the author to collect data which has helped him to generate with confidence questions for the next stage of research.

The overall findings from the five interviews concluded that the participants found Stamp Duty Land Tax to be unfair; their knowledge seemed to be basic especially when unstructured in-depth questions were asked pertaining to the tax.

Questionnaire 1

The first questionnaire attempted to seek a professional opinion from ten estate agents within the North-West of England into the effect of Stamp Duty Land Tax on the property market and the levels of knowledge in avoidance of the tax.

Five questions were asked with the opportunity for the participants to add further information if required:

Answer choices

Responses

Unfair

70%

Fair

30%

No opinion

-

Total

100%

What is your opinion on the obligation to pay Stamp Duty Land Tax? Is it fair or unfair? This question split the results with 70% replying that they felt it was unfair and 30% replying that the tax was fair and justifiable see figure 8 below. Additional negative comments included that the tax was ‘unfair and expensive’ in line with the non professional interviews but other positive comments included that the ‘Tax is justified and can help to limit clients from purchasing property that is beyond their economic means’.

Figure 8

2. Do you know of any methods of reducing SDLT liability? E.g. transferring ownership? Analysis of the results showed that 80% of estate agents responded –No and 20% were unsure. No additional comments were given which leads the author to believe that estate agents are unaware of methods of reducing tax liability.

3. Do you advise your clients of SDLT and legal tax avoidance schemes? The result was as expected with 100% of the participants answering – No. Based on the evidence received in question 2 it was expected that no legal tax avoidance schemes are offered to their clients.

4. Do you think if SDLT was reduced it would improve the housing market? The result was 100%-Yes with all participants believing a reduction in tax would help the current housing market. One estate agent commented that ‘the increase from 1% to 3% at £250k affects the saleability of properties marketed between £250k and £285k and needs to be reduced’.

5. Do you think SDLT should be abolished to rejuvenate the housing market? The results from this question came as a small surprise to the author with 60% replying –Yes and 40% of estate agents replying –No. Additional comments included that ‘Tax is required by the treasury and if this tax goes it will only be replaced by another’ and ‘the government should do everything possible to drive first time buyer activity and purchase of the lower end housing stock as this drives the whole market’.

The findings from the ten questionnaires conducted by the estate agents concluded that the participants found Stamp Duty Land Tax to be mostly unfair; their knowledge seemed to be competent especially around the area of tax, but knowledge of tax avoidance schemes was relatively none existent. The general consensus also concluded that Stamp Duty Land Tax should be either reduced or abolished to improve the currently slow housing market.

The questionnaire gathered valuable data for the author from the ten estate agents regarding Stamp Duty Land Tax. Their responses have allowed the author to study the area of Stamp Duty Land Tax from a professional viewpoint in greater detail and have been a great help to generate the additional questions for the next stage of research in questionnaire three.

Questionnaire 2

The second questionnaire was aimed at fifty different estate agents. The five original questions from questionnaire one was included and an additional five questions were added to gather the further data required for the research.

This first question asked estate agents ‘what is your opinion on the obligation to pay Stamp Duty Land Tax’, 28% felt that the tax was fair and justified and 58% thought the tax was unfair see figure 9 below. This quantitative data echoes in agreement with the previous data of the first questionnaire that professional estate agents overall feel that Stamp Duty Land Tax is unfair in the current economic position.

Answer choices

Responses

Unfair

58.00%

Fair

28.00%

No opinion

14.00%

Total

100%

Figure 9

Question 2 asked participants do you know of any methods of reducing SDLT liability. E.g. transferring ownership? Analysis of the results showed that 94% of estate agents responded –No and 6% were unsure. The results reflected the answers provided within questionnaire 1 and confirmed that estate agents do not provide information on how to reduce SDLT.

Question 3 asked the participants do you advise your clients of SDLT and legal tax avoidance schemes. Over 85% responded No to giving further advice on SDLT with the majority of estate agents unaware of the existence of SDLT avoidance schemes. 14% replied yes but further investigation into this answer revealed it was only advice around the amounts of tax that was to be paid on completion of the purchase. The results were again as expected and in line with the answers from the first questionnaire that estate agents do not advise future clients about SDLT avoidance schemes.

Question 4 asked participants do you think if SDLT was reduced it would improve the housing market. Estate agents response was 92% Yes and only 8% answered No again the quantitative data confirmed the data within the first questionnaire. Estate agents believe that SDLT needs to be reduced to help improve the current housing market.

Question 5 requested participants if SDLT should be abolished to rejuvenate the housing market? The results from this question was 78% Yes and 20% No this questionnaire was more conclusive than the first questionnaire, but again confirmed that estate agents overall believed that the abolishment of SDLT would rejuvenate the housing market.

The five additional questions no. 6-10 within this questionnaire are to provide supplementary evidence within this research area:

6. Do you feel that the SDLT current zero rate of £125k currently payable on residential properties should be increased? Four choices were provided:

Same- 18% 500K- 18%

250K- 54% 1 Million- 10%

Answer choices

Responses

Same

18%

250K

54%

500K

18%

1 Million

10%

The majority of estate agents 27 out of the 50 would like to see an increase in the Zero rate of SDLT to 500K see fig 10. Additional comments included ‘Housing market is stagnate between 150k and 250K’ and ‘Tax needs to levied at the buyer who can afford to pay’.

Figure 10

Figure 10

7. Do you feel the current SDLT bandings are fair E.g. The increase from 1% to 3% at £250k? The result was as expected with reference to question 6- 66% of the participants answering - No. Based on the answer received in question 6 it was expected that estate agents would not feel overall that the current method of banding was fair. Additional comments included ‘Tax is unfair if you purchase a property for £249k you pay £2490 in tax but if the property was £251k a client pays over £7500’.

8. Do you feel that the commitment to pay SDLT ensures that potential homebuyers do not purchase property beyond their economic means? Analysis of the results showed 80% of estate agents responded –No and 20% answered Yes. No additional comments were given which leads the author to believe that estate agents overall do not feel that clients consider the cost of SDLT in the purchase of a future property.

9. Do you think SDLT should be abolished and included within another tax? e.g. income tax? Only 2 participants 4% felt that SDLT should be abolished and placed within a different tax. Additional comments included that ‘It should be abolished without a replacement’ and ‘Stamp Duty is unfair but at least within its current format only potential house buyers are effected and not the general populous’.

10 Do you think that the abolishment of SDLT could lead to another economic housing crisis e.g. as in the 1980s? This question was to gauge the professional view on SDLT being a deterrent against potential new house purchasers buying property beyond their economic means. Only 30% 15 out of 50 participants thought the tax would prevent another economic housing crisis. Additional estate agent comments included ‘our clients in general are not deterred in the purchase of property because of tax’ and ‘the banks are already slowing the market by not borrowing money. If the tax was abolished this can only help the market to improve’.

The overall findings from the fifty questionnaires completed by estate agents are consistent with the data gathered from the first questionnaire. The participants found Stamp Duty Land Tax to be overall for the most part unfair, knowledge of tax avoidance schemes was relatively none existent but evidence of tax amounts applicable to the purchase of property was relatively competent. The consensus of estate agents was that Stamp Duty Land Tax should be reduced or abolished to improve the slow housing market.

Chapter 5 – Conclusions

The previous chapter provided the primary research within this study; the author’s findings included key areas relevant to the tax. This chapter will analyse the primary data and the secondary data from the literature review to examine if there is a link between data that is already in existence and new evidence that was collected within the author’s research. Future research will be identified at the end of this chapter to decide if more research should be carried out based on the author’s final conclusion.

Primary Research and Secondary Research

The first part of the literature review was undertaken to understand how and why SDLT came into existence; research indicates it originated in the 16th century and was introduced to finance war against France but the tax has continued and been present in some form ever since (UK regulation, 2010).

Secondly tax avoidance was researched which produced different opinions in relation to the tax (Nuttall, 2003) argued that the tax, because of the intricacy of legislation, has given rise to various avoidance schemes and (Williamson, 2012) suggests schemes are still actively marketed. A number of companies claim "a 100% success rate" in avoiding the property tax. The Trade Union Congress (TUC) has argued that ‘many loopholes are still in place and the government has a long way to go before it can justifiably claim to be taking a tough line on SDLT avoidance’

HMRC have introduced new rules following legal action taken against aggressive tax avoiders (HMRC, 2012). HMRC’s stated that ‘tax avoiders will be challenged and people who are tempted by tax advisers to enter into avoidance schemes should think again’. HMRC have also challenged the current SDLT avoidance schemes as not having the financial effect the promoters claim. Avoidance does not always apply because the targeted anti-avoidance rule operates to neutralise any tax advantage or gain (Williamson, 2012) and SDLT will still need to be paid at the relevant amount by the purchaser (Rawlinson, et al 2012). The introduction of an anti-abuse rule will further strengthen the work involved to reduce anti avoidance to an acceptable level (HMRC, 2013).

The primary data collected based on tax avoidance schemes found that knowledge of SDLT avoidance was relatively none existent. Estate Agents do not advise clients on legal reduction of tax payable to the HMRC but do offer guidance on the amount of tax payable. The interviews of non professionals found that there was a lower level of knowledge base compared to the estate agents around the area of tax avoidance, but if the tax was applicable to them in the future then further research would take place to see if there was a legal financial saving to be made.

The final part of the literature review was to analyse the effect of Stamp Duty Land Tax on the North-West of England property market. (Hole, 2012) stated that SDLT is an important part of moving costs but little is known on their effect on mobility within the UK.

Colliers (a London based estate agent) in 2012 conducted a survey about the effects of SDLT on properties in London. The result was that over 80% of respondents believed that the impact is negative on the property market and 18% of respondents believe that it will have no impact on the housing market in the future (Colliers, 2012).

Britain’s largest property services group Countrywide urged the Government to ‘review the outdated thresholds’ in order to stimulate house sales (Countrywide 2012) and (Turner 2012) argues that stamp duty for homes costing less than £250,000 should be axed permanently and the unfair tax system overhauled. A similar view from (Lambert2012) suggests that the SDLT system is outdated and prohibitive to increasing house sales and that only 13 % of stamp duty comes from properties worth less than £250,000.

The primary data collected corresponded with the secondary data from the literature review that the current SDLT was unfair and was posing a negative effect on the property market. The non professional viewpoint was that the tax should be abolished and not replaced with an alternative or included within another tax. The professional opinion was not as negative but did echo the secondary data that the tax needs to be reduced or abolished with an alternative property tax solution put in place for the future.

The author feels that the primary and secondary research has accomplished the objectives that were outlined within chapter one, however the author was surprised at the poor level of professional knowledge surrounding the area of SDLT avoidance schemes from the estate agents that contributed to the research.

SDLT and its negative effect on the property market is an area of the study that the author feels warrants further research. The overall view by participants was that the tax was unfair and is having a negative effect on the property market. The author would like to see the government looking at alternative methods of implementing the tax for e.g. a similar tax system to Income tax or changes within the bandings scale to help property sales.

Future Research

Future research within the area of SDLT would be beneficial on the subject; a longitudinal case study approach could be used to look at different professional opinions for e.g. conveyance solicitors. The research could also look internationally at other countries to analyse their methods on the taxation of property to see if there are better or different alternatives to the UK SDLT system.

A longitudinal study for the results to be valid and consistent would require a time scale of 1 to 3 years dependent on the depth of research required; this was a limitation that had an effect on the author’s choice of study.

The author believes it is essential for research to be conducted into potential changes within the tax structure, negative findings from the literature and the primary research points to the possibility that the tax is inadequate and requires future reform.

Reflection

The author has found that the completion of this study has helped him to gain confidence and knowledge when conducting research in a complex area of tax. The objective at the beginning of the research study was to expand the author’s knowledge of the subject of SDLT. In itself it was too complex to learn in any great depth in the time allotted within the university timetable.

The author found that the achievement of completing a dissertation, was a rewarding and challenging commitment but it was also an enjoyable part of university education. The dissertation has also given the author a greater understanding of the subject of SDLT that can be used within his future career choice.

Word Count=10,216

Appendices

Appendix 1 – Interviews-Stamp Duty Land Tax

1. Do you know what Stamp Duty Land Tax is?

Yes  No 

2. Have you ever experienced the burden of Stamp Duty Land Tax firsthand?

Yes  No 

3. Do you have an opinion upon the fairness of Stamp Duty Land Tax?

Yes  No 

4. Do you know any means by which to avoid the Stamp Duty Land Tax liability?

Yes  No 

5. Have you made any plans or do you intend to make any plans to avoid Stamp Duty Land Tax liability for yourself or your family in the future?

Yes  No 

6. Does Paying SDLT have a bearing on the purchase of your future house?

Yes  No 

7. Do you think SDLT should be abolished and included within another tax?

Yes  No 

8. Do you think SDLT should be abolished to rejuvenate the housing market?

Yes  No 

Appendix 2 –Questionnaire 1-Stamp Duty Land Tax

1. What is your opinion on the obligation to pay Stamp Duty Land Tax? Is it fair or unfair?

Fair  Unfair  Unsure 

2. Do you know of any methods of reducing SDLT liability? E.g. transferring ownership?

Yes  No  Unsure 

3. Do you advise your clients of SDLT and legal tax avoidance schemes?

Yes  No  Unsure 

4. Do you think if SDLT was reduced it would improve the housing market?

Yes  No  Unsure 

5. Do you think SDLT should be abolished to rejuvenate the housing market?

Yes  No  Unsure 

Appendix 3 –Questionnaire 2-Stamp Duty Land Tax

1. What is your opinion on the obligation to pay Stamp Duty Land Tax? Is it fair or unfair?

Fair  Unfair  Unsure 

2. Do you know of any methods of reducing SDLT liability? E.g. transferring ownership?

Yes  No  Unsure 

3. Do you advise your clients of SDLT and legal tax avoidance schemes?

Yes  No  Unsure 

4. Do you think if SDLT was reduced it would improve the housing market?

Yes  No  Unsure 

5. Do you think SDLT should be abolished to rejuvenate the housing market?

Yes  No  Unsure 

6. Do you feel that the SDLT current zero rate of £125k currently payable on residential properties should be increased?

Same-  250K-  500K-  1 Million- 

7. Do you feel the current SDLT bandings are fair E.g. The increase from 1% to 3% at £250k?

Yes  No  Unsure 

8. Do you feel that the commitment to pay SDLT ensures that potential homebuyers do not purchase property beyond their economic means?

Yes  No  Unsure 

9. Do you think SDLT should be abolished and included within another tax? e.g. income tax?

Yes  No  Unsure 

10. Do you think that the abolishment of SDLT could lead to another economic housing crisis e.g. 1980s?

Yes  No  Unsure 

Interview – Results-5 Participants

Results from the 8 Interview questions

Each question will be evaluated using the ‘Mean’, ‘Median’ and ‘Mode’ method within the table of results.

1. Do you know what Stamp Duty Land Tax is?

Table of Results

Participant-Answer

Yes

No

1

 

 

2

 

 

3

 

 

4

 

 

5

 

 

Total (Out of 5) 5-Yes and 0-No

Mean = 1 (100%) said ‘Yes’ for question 1

0 (0%) said ‘No’ for question 1

Median = ‘Yes’

Mode = Yes (The most frequently occurring answer to Question 1 was ‘Yes’)

2. Have you ever experienced the burden of Stamp Duty Land Tax firsthand?

Table of Results

Participant-Answer

Yes

No

1

 

 

2

 

 

3

 

 

4

 

 

5

 

 

Total (Out of 5) 5-Yes and 0-No

Mean = 1 (100%) said ‘Yes’ for question 2

0 (0%) said ‘No’ for question 2

Median = ‘Yes’

Mode = Yes (The most frequently occurring answer to Question 2 was ‘Yes’)

3. Do you have an opinion upon the fairness of Stamp Duty Land Tax?

Table of Results

Participant-Answer

Yes

No

1

 

 

2

 

 

3

 

 

4

 

 

5

 

 

Total (Out of 5) 3-Yes and 2-No

Mean = 0.60 (60%) said ‘Yes’ for question 3

0.40 (40%) said ‘No’ for question 3

Median = ‘Yes’

Mode = Yes (The most frequently occurring answer to Question 3 was ‘Yes’)

4. Do you know any means by which to avoid the Stamp Duty Land Tax liability?

Table of Results

Participant-Answer

Yes

No

1

 

 

2

 

 

3

 

 

4

 

 

5

 

 

Total (Out of 5) 0-Yes and 5-No

Mean = 0 (0%) said ‘Yes’ for question 4

1 (100%) said ‘No’ for question 4

Median = ‘No’

Mode = No (The most frequently occurring answer to Question 4 was ‘No’)

5. Have you made any plans or do you intend to make any plans to avoid Stamp Duty Land Tax liability for yourself or your family in the future?

Table of Results

Participant-Answer

Yes

No

1

 

 

2

 

 

3

 

 

4

 

 

5

 

 

Total (Out of 5) 2-Yes and 3-No

Mean = 0.40 (40%) said ‘Yes’ for question 5

0.60 (60%) said ‘No’ for question 5

Median = ‘No’

Mode = No (The most frequently occurring answer to Question 5 was ‘No’)

6. Does Paying SDLT have a bearing on the purchase of your future house?

Table of Results

Participant-Answer

Yes

No

1

 

 

2

 

 

3

 

 

4

 

 

5

 

 

Total (Out of 5) 5-Yes and 0-No

Mean = 1 (100%) said ‘Yes’ for question 6

0 (0%) said ‘No’ for question 6

Median = ‘Yes’

Mode = Yes (The most frequently occurring answer to Question 6 was ‘Yes’)

7. Do you think SDLT should be abolished and included within another tax? e.g. Income tax?

Table of Results

Participant-Answer

Yes

No

1

 

 

2

 

 

3

 

 

4

 

 

5

 

 

Total (Out of 5) 1-Yes and 4-No

Mean = 0.20 (20%) said ‘Yes’ for question 7

0.80 (80%) said ‘No’ for question 7

Median = ‘No’

Mode = No (The most frequently occurring answer to Question 7 was ‘No’)

8. Do you think SDLT should be abolished to rejuvenate the housing market?

Table of Results

Participant-Answer

Yes

No

1

 

 

2

 

 

3

 

 

4

 

 

5

 

 

Total (Out of 5) 5-Yes and 0-No

Mean = 1 (100%) said ‘Yes’ for question 8

0 (0%) said ‘No’ for question 8

Median = ‘Yes’

Mode = Yes (The most frequently occurring answer to Question 8 was ‘Yes’)

Appendix 2 – Results- Questionnaire 1

10 Participants (Estate Agents)

Results from the 5 Questions

Each question will be evaluated using the ‘Mean’, ‘Median’ and ‘Mode’ method within the table of results.

1. What is your opinion on the obligation to pay Stamp Duty Land Tax? Is it fair or unfair?

Table of Results

Participant-Answer

Fair

Unfair

Unsure

1

 

 

 

2

 

 

 

3

 

 

 

4

 

 

 

5

 

 

 

6

 

 

 

7

 

 

 

8

 

 

 

9

 

 

 

10

 

 

 

Total

7

0

Total (Out of 10) 3-Fair and 7-Unfair and 0-Unsure

Mean = 0.30 (30%) said ‘Fair’ for question 1

0.70 (70%) said ‘Unfair’ for question 1

Median = ‘Unfair’

Mode = Unfair (The most frequently occurring answer to Question 1 was ‘Unfair’)

2. Do you know of any methods of reducing SDLT liability? E.g. transferring ownership?

Table of Results

Participant-Answer

Yes

No

Unsure

1

 

 

 

2

 

 

 

3

 

 

 

4

 

 

 

5

 

 

 

6

 

 

 

7

 

 

 

8

 

 

 

9

 

 

 

10

 

 

 

Total

0

8

2

Total (Out of 10) 0-Yes and 8-No and 2-Unsure

Mean = 0 (0%) said ‘Yes’ for question 2

0.80 (80%) said ‘No’ for question 2

0.20 (20%) said ‘Unsure’ for question 2

Median = ‘No’

Mode = No (The most frequently occurring answer to Question 2 was ‘No’)

3. Do you advise your clients of SDLT and legal tax avoidance schemes?

Table of Results

Participant-Answer

Yes

No

Unsure

1

 

 

 

2

 

 

 

3

 

 

 

4

 

 

 

5

 

 

 

6

 

 

 

7

 

 

 

8

 

 

 

9

 

 

 

10

 

 

 

Total

0

10

0

Total (Out of 10) 0-Yes and 10-No and 0-Unsure

Mean = 0 (0%) said ‘Yes’ for question 3

1 (100%) said ‘No’ for question 3

0 (0%) said ‘Unsure’ for question 3

Median = ‘No’

Mode = No (The most frequently occurring answer to Question 3 was ‘No’)

4. Do you think if SDLT was reduced it would improve the housing market?

Table of Results

Participant-Answer

Yes

No

Unsure

1

 

 

 

2

 

 

 

3

 

 

 

4

 

 

 

5

 

 

 

6

 

 

 

7

 

 

 

8

 

 

 

9

 

 

 

10

 

 

 

Total

10

0

0

Total (Out of 10) 10-Yes and 0-No and 0-Unsure

Mean = 1 (100%) said ‘Yes’ for question 4

0 (0%) said ‘No’ for question 4

0 (0%) said ‘Unsure’ for question 4

Median = ‘Yes’

Mode = Yes (The most frequently occurring answer to Question 4 was ‘Yes’)

5. Do you think SDLT should be abolished to rejuvenate the housing market?

Table of Results

Participant-Answer

Yes

No

Unsure

1

 

 

 

2

 

 

 

3

 

 

 

4

 

 

 

5

 

 

 

6

 

 

 

7

 

 

 

8

 

 

 

9

 

 

 

10

 

 

 

Total

6

4

0

Total (Out of 10) 6-Yes and 4-No and 0-Unsure

Mean = 0.60 (60%) said ‘Yes’ for question 5

0.40 (40%) said ‘No’ for question 5

0 (0%) said ‘Unsure’ for question 5

Median = ‘Yes’

Mode = Yes (The most frequently occurring answer to Question 5 was ‘Yes’)

Appendix 3 – Results- Questionnaire 2

50 Participants (Estate Agents)

Results from the 10 Questions

Each question will be evaluated using the ‘Mean’, ‘Median’ and ‘Mode’ method within the table of results.

1. What is your opinion on the obligation to pay Stamp Duty Land Tax? Is it fair or unfair?

Table of Results

Participant-Answer

Fair

Unfair

Unsure

1

 

 

 

2

 

 

 

3

 

 

 

4

 

 

 

5

 

 

 

6

 

 

 

7

 

 

 

8

 

 

 

9

 

 

 

10

 

 

 

11

 

 

 

12

 

 

 

13

 

 

 

14

 

 

 

15

 

 

 

16

 

 

 

17

 

 

 

18

 

 

 

19

 

 

 

20

 

 

 

21

 

 

 

22

 

 

 

23

 

 

 

24

 

 

 

25

 

 

 

26

 

 

 

27

 

 

 

28

 

 

 

29

 

 

 

30

 

 

 

31

 

 

 

32

 

 

 

33

 

 

 

34

 

 

 

35

 

 

 

36

 

 

 

37

 

 

 

38

 

 

 

39

 

 

 

40

 

 

 

41

 

 

 

42

 

 

 

43

 

 

 

44

 

 

 

45

 

 

 

46

 

 

 

47

 

 

 

48

 

 

 

49

 

 

 

50

 

 

 

Total

14

29

7

Total (Out of 50) 14-Fair and 29-Unfair and 7-Unsure

Mean = 0.28 (28%) said ‘Fair’ for question 1

0.58 (58%) said ‘Unfair’ for question 1

0.14 (14%) said ‘Unsure’ for question 1

Median = ‘Unfair’

Mode = Unfair (The most frequently occurring answer to Question 1 was ‘Unfair’)

2. Do you know of any methods of reducing SDLT liability? E.g. transferring ownership?

Table of Results

Participant-Answer

Yes

No

Unsure

1

 

 

 

2

 

 

 

3

 

 

 

4

 

 

 

5

 

 

 

6

 

 

 

7

 

 

 

8

 

 

 

9

 

 

 

10

 

 

 

11

 

 

 

12

 

 

 

13

 

 

 

14

 

 

 

15

 

 

 

16

 

 

 

17

 

 

 

18

 

 

 

19

 

 

 

20

 

 

 

21

 

 

 

22

 

 

 

23

 

 

 

24

 

 

 

25

 

 

 

26

 

 

 

27

 

 

 

28

 

 

 

29

 

 

 

30

 

 

 

31

 

 

 

32

 

 

 

33

 

 

 

34

 

 

 

35

 

 

 

36

 

 

 

37

 

 

 

38

 

 

 

39

 

 

 

40

 

 

 

41

 

 

 

42

 

 

 

43

 

 

 

44

 

 

 

45

 

 

 

46

 

 

 

47

 

 

 

48

 

 

 

49

 

 

 

50

 

 

 

Total

0

47

3

Total (Out of 50) 0-Yes and 47-No and 3-Unsure

Mean = 0 (0%) said ‘Yes’ for question 2

0.94 (94%) said ‘No’ for question 2

0.06 (6%) said ‘Unsure’ for question 2

Median = ‘No’

Mode = No (The most frequently occurring answer to Question 2 was ‘No’)

3. Do you advise your clients of SDLT and legal tax avoidance schemes?

Table of Results

Participant-Answer

Yes

No

Unsure

1

 

 

 

2

 

 

 

3

 

 

 

4

 

 

 

5

 

 

 

6

 

 

 

7

 

 

 

8

 

 

 

9

 

 

 

10

 

 

 

11

 

 

 

12

 

 

 

13

 

 

 

14

 

 

 

15

 

 

 

16

 

 

 

17

 

 

 

18

 

 

 

19

 

 

 

20

 

 

 

21

 

 

 

22

 

 

 

23

 

 

 

24

 

 

 

25

 

 

 

26

 

 

 

27

 

 

 

28

 

 

 

29

 

 

 

30

 

 

 

31

 

 

 

32

 

 

 

33

 

 

 

34

 

 

 

35

 

 

 

36

 

 

 

37

 

 

 

38

 

 

 

39

 

 

 

40

 

 

 

41

 

 

 

42

 

 

 

43

 

 

 

44

 

 

 

45

 

 

 

46

 

 

 

47

 

 

 

48

 

 

 

49

 

 

 

50

 

 

 

Total

6

43

1

Total (Out of 50) 6-Yes and 43-No and 1-Unsure

Mean = 0.12 (12%) said ‘Yes’ for question 3

0.86 (86%) said ‘No’ for question 3

0.02 (2%) said ‘Unsure’ for question 3

Median = ‘No’

Mode = No (The most frequently occurring answer to Question 3 was ‘No’)

4. Do you think if SDLT was reduced it would improve the housing market?

Table of Results

Participant-Answer

Yes

No

Unsure

1

 

 

 

2

 

 

 

3

 

 

 

4

 

 

 

5

 

 

 

6

 

 

 

7

 

 

 

8

 

 

 

9

 

 

 

10

 

 

 

11

 

 

 

12

 

 

 

13

 

 

 

14

 

 

 

15

 

 

 

16

 

 

 

17

 

 

 

18

 

 

 

19

 

 

 

20

 

 

 

21

 

 

 

22

 

 

 

23

 

 

 

24

 

 

 

25

 

 

 

26

 

 

 

27

 

 

 

28

 

 

 

29

 

 

 

30

 

 

 

31

 

 

 

32

 

 

 

33

 

 

 

34

 

 

 

35

 

 

 

36

 

 

 

37

 

 

 

38

 

 

 

39

 

 

 

40

 

 

 

41

 

 

 

42

 

 

 

43

 

 

 

44

 

 

 

45

 

 

 

46

 

 

 

47

 

 

 

48

 

 

 

49

 

 

 

50

 

 

 

Total

46

4

0

Total (Out of 50) 46-Yes and 4-No and 0-Unsure

Mean = 0.92 (92%) said ‘Yes’ for question 4

0.08 (8%) said ‘No’ for question 4

0 (0) said ‘Unsure’ for question 4

Median = ‘Yes’

Mode = Yes (The most frequently occurring answer to Question 4 was ‘Yes’)

5. Do you think SDLT should be abolished to rejuvenate the housing market?

Table of Results

Participant-Answer

Yes

No

Unsure

1

 

 

 

2

 

 

 

3

 

 

 

4

 

 

 

5

 

 

 

6

 

 

 

7

 

 

 

8

 

 

 

9

 

 

 

10

 

 

 

11

 

 

 

12

 

 

 

13

 

 

 

14

 

 

 

15

 

 

 

16

 

 

 

17

 

 

 

18

 

 

 

19

 

 

 

20

 

 

 

21

 

 

 

22

 

 

 

23

 

 

 

24

 

 

 

25

 

 

 

26

 

 

 

27

 

 

 

28

 

 

 

29

 

 

 

30

 

 

 

31

 

 

 

32

 

 

 

33

 

 

 

34

 

 

 

35

 

 

 

36

 

 

 

37

 

 

 

38

 

 

 

39

 

 

 

40

 

 

 

41

 

 

 

42

 

 

 

43

 

 

 

44

 

 

 

45

 

 

 

46

 

 

 

47

 

 

 

48

 

 

 

49

 

 

 

50

 

 

 

Total

39

10

1

Total (Out of 50) 39-Yes and 10-No and 1-Unsure

Mean = 0.78 (78%) said ‘Yes’ for question 5

0.20 (20%) said ‘No’ for question 5

0.02 (2%) said ‘Unsure’ for question 5

Median = ‘Yes’

Mode = Yes (The most frequently occurring answer to Question 5 was ‘Yes’)

6. Do you feel that the SDLT current zero rate of £125k currently payable on residential properties should be increased?

Table of Results

Participant-Answer

Same

250K

500K

1 Million

1

 

 

 

 

2

 

 

 

 

3

 

 

 

 

4

 

 

 

 

5

 

 

 

 

6

 

 

 

 

7

 

 

 

 

8

 

 

 

 

9

 

 

 

 

10

 

 

 

 

11

 

 

 

 

12

 

 

 

 

13

 

 

 

 

14

 

 

 

 

15

 

 

 

 

16

 

 

 

 

17

 

 

 

 

18

 

 

 

 

19

 

 

 

 

20

 

 

 

 

21

 

 

 

 

22

 

 

 

 

23

 

 

 

 

24

 

 

 

 

25

 

 

 

 

26

 

 

 

 

27

 

 

 

 

28

 

 

 

 

29

 

 

 

 

30

 

 

 

 

31

 

 

 

 

32

 

 

 

 

33

 

 

 

 

34

 

 

 

 

35

 

 

 

 

36

 

 

 

 

37

 

 

 

 

38

 

 

 

 

39

 

 

 

 

40

 

 

 

 

41

 

 

 

 

42

 

 

 

 

43

 

 

 

 

44

 

 

 

 

45

 

 

 

 

46

 

 

 

 

47

 

 

 

 

48

 

 

 

 

49

 

 

 

 

50

 

 

 

 

Total

9

27

9

5

Total (Out of 50) 9-Same and 27- 250K and 9-500K and 5- 1 Million

Mean = 0.18 (18%) said ‘Same’ for question 6

0.54 (54%) said ‘250K’ for question 6

0.18 (18%) said ‘500K’ for question 6

0.10 (10%) said ‘1 Million’ for question 6

Median = ‘250K’

Mode = 250K (The most frequently occurring answer to Question 6 was ‘250K’)

7. Do you feel the current SDLT bandings are fair E.g. The increase from 1% to 3% at £250k?

Table of Results

Participant-Answer

Yes

No

Unsure

1

 

 

 

2

 

 

 

3

 

 

 

4

 

 

 

5

 

 

 

6

 

 

 

7

 

 

 

8

 

 

 

9

 

 

 

10

 

 

 

11

 

 

 

12

 

 

 

13

 

 

 

14

 

 

 

15

 

 

 

16

 

 

 

17

 

 

 

18

 

 

 

19

 

 

 

20

 

 

 

21

 

 

 

22

 

 

 

23

 

 

 

24

 

 

 

25

 

 

 

26

 

 

 

27

 

 

 

28

 

 

 

29

 

 

 

30

 

 

 

31

 

 

 

32

 

 

 

33

 

 

 

34

 

 

 

35

 

 

 

36

 

 

 

37

 

 

 

38

 

 

 

39

 

 

 

40

 

 

 

41

 

 

 

42

 

 

 

43

 

 

 

44

 

 

 

45

 

 

 

46

 

 

 

47

 

 

 

48

 

 

 

49

 

 

 

50

 

 

 

Total

12

33

5

Total (Out of 50) 12-Yes and 33-No and 5-Unsure

Mean = 0.24 (24%) said ‘Yes’ for question 7

0.66 (66%) said ‘No’ for question 7

0.10 (10%) said ‘Unsure’ for question 7

Median = ‘No’

Mode = No (The most frequently occurring answer to Question 7 was ‘No’)

8. Do you feel that the commitment to pay SDLT ensures that potential homebuyers do not purchase property beyond their economic means?

Table of Results

Participant-Answer

Yes

No

Unsure

1

 

 

 

2

 

 

 

3

 

 

 

4

 

 

 

5

 

 

 

6

 

 

 

7

 

 

 

8

 

 

 

9

 

 

 

10

 

 

 

11

 

 

 

12

 

 

 

13

 

 

 

14

 

 

 

15

 

 

 

16

 

 

 

17

 

 

 

18

 

 

 

19

 

 

 

20

 

 

 

21

 

 

 

22

 

 

 

23

 

 

 

24

 

 

 

25

 

 

 

26

 

 

 

27

 

 

 

28

 

 

 

29

 

 

 

30

 

 

 

31

 

 

 

32

 

 

 

33

 

 

 

34

 

 

 

35

 

 

 

36

 

 

 

37

 

 

 

38

 

 

 

39

 

 

 

40

 

 

 

41

 

 

 

42

 

 

 

43

 

 

 

44

 

 

 

45

 

 

 

46

 

 

 

47

 

 

 

48

 

 

 

49

 

 

 

50

 

 

 

Total

10

40

0

Total (Out of 50) 10-Yes and 40-No and 0-Unsure

Mean = 0.20 (20%) said ‘Yes’ for question 8

0.80 (80%) said ‘No’ for question 8

0 (0%) said ‘Unsure’ for question 8

Median = ‘No’

Mode = No (The most frequently occurring answer to Question 8 was ‘No’)

9. Do you think SDLT should be abolished and included within another tax? e.g. income tax?

Table of Results

Participant-Answer

Yes

No

Unsure

1

 

 

 

2

 

 

 

3

 

 

 

4

 

 

 

5

 

 

 

6

 

 

 

7

 

 

 

8

 

 

 

9

 

 

 

10

 

 

 

11

 

 

 

12

 

 

 

13

 

 

 

14

 

 

 

15

 

 

 

16

 

 

 

17

 

 

 

18

 

 

 

19

 

 

 

20

 

 

 

21

 

 

 

22

 

 

 

23

 

 

 

24

 

 

 

25

 

 

 

26

 

 

 

27

 

 

 

28

 

 

 

29

 

 

 

30

 

 

 

31

 

 

 

32

 

 

 

33

 

 

 

34

 

 

 

35

 

 

 

36

 

 

 

37

 

 

 

38

 

 

 

39

 

 

 

40

 

 

 

41

 

 

 

42

 

 

 

43

 

 

 

44

 

 

 

45

 

 

 

46

 

 

 

47

 

 

 

48

 

 

 

49

 

 

 

50

 

 

 

Total

2

46

2

Total (Out of 50) 2-Yes and 46-No and 2-Unsure

Mean = 0.04 (4%) said ‘Yes’ for question 9

0.92 (92%) said ‘No’ for question 9

0.04 (4%) said ‘Unsure’ for question 9

Median = ‘No’

Mode = No (The most frequently occurring answer to Question 9 was ‘No’)

10. Do you think that the abolishment of SDLT could lead to another economic housing crisis e.g. 1980s?

Table of Results

Participant-Answer

Yes

No

Unsure

1

 

 

 

2

 

 

 

3

 

 

 

4

 

 

 

5

 

 

 

6

 

 

 

7

 

 

 

8

 

 

 

9

 

 

 

10

 

 

 

11

 

 

 

12

 

 

 

13

 

 

 

14

 

 

 

15

 

 

 

16

 

 

 

17

 

 

 

18

 

 

 

19

 

 

 

20

 

 

 

21

 

 

 

22

 

 

 

23

 

 

 

24

 

 

 

25

 

 

 

26

 

 

 

27

 

 

 

28

 

 

 

29

 

 

 

30

 

 

 

31

 

 

 

32

 

 

 

33

 

 

 

34

 

 

 

35

 

 

 

36

 

 

 

37

 

 

 

38

 

 

 

39

 

 

 

40

 

 

 

41

 

 

 

42

 

 

 

43

 

 

 

44

 

 

 

45

 

 

 

46

 

 

 

47

 

 

 

48

 

 

 

49

 

 

 

50

 

 

 

Total

15

32

3

Total (Out of 50) 15-Yes and 32-No and 3-Unsure

Mean = 0.30 (30%) said ‘Yes’ for question 10

0.64 (64%) said ‘No’ for question 10

0.06 (6%) said ‘Unsure’ for question 10

Median = ‘No’

Mode = No (The most frequently occurring answer to Question 10 was ‘No’)