Last week the Dail passed a financial resolution imposing a stamp duty charge of 10% on the multiple purchase of 10 or more residential units.
As well as applying to bulk purchases, the increased rate will also apply where a person acquires 10 or more properties on a cumulative basis over a 12-month period. The new measure will also apply to shares or units of companies, IREFs and partnerships which derive their value from residential units.
There is a three-month transition period provided for the execution of contracts that have been entered into but not completed prior to last week’s resolution. In respect of units purchased before the resolution these properties can be counted towards triggering the relevant threshold. However, the increased rate will only apply to units purchased after the resolution.
The increased rate of stamp duty will not apply to multiple purchases by local authorities and approved housing agencies. Furthermore, the new provision does not apply to the multiple purchase of apartments.
For more information in relation to same please do not hesitate to contact MC2 Accountants Ltd on 021 486 1486.