Chapter 7 - Stamp duties Flashcards
Giles purchased shares valued at £12,500 via his stockbroker. How much stamp duty reserve tax, if any, will be payable on this transaction?
Select one:
a. £62.50.
b. Nil.
c. £65.
d. £63.
a. £62.50.
chapter reference 7B
Camilla has just made these investments: £10,000 in an exchange traded fund, £10,000 in a unit trust and £10,000 in FTSE 100 company shares. Her stamp duty reserve tax liability is:
Select one:
a. Nil for the exchange traded fund, nil for the unit trust and £50 for the FTSE 100 shares.
b. Nil for the exchange traded fund, £50 for the unit trust and nil for the FTSE 100 shares.
c. Nil for the exchange traded fund, £50 for the unit trust and £50 for the FTSE 100 shares.
d. £50 for the exchange traded fund, £50 for the unit trust and nil for the FTSE 100 shares.
a. Nil for the exchange traded fund, nil for the unit trust and £50 for the FTSE 100 shares.
chapter reference 7B
Tracey and Olivia have recently exchanged houses. Tracey’s house was valued at £240,000 and Olivia’s house was valued at £265,000. In view of the price difference Tracey paid Olivia a cash lump sum of £25,000. How much stamp duty land tax, if any, will be payable in total as a result of the exchange?
Select one:
a. £5,550.
b. Nil.
c. £10,350.
d. £750.
a. £5,550.
chapter reference 7A1
For capital gains tax purposes, stamp duty and stamp duty reserve tax are:
Select one:
a. part of the incidental costs of acquisition.
b. added to the chargeable gain.
c. part of the incidental costs of sale.
d. added to the sale price.
a. part of the incidental costs of acquisition.
chapter reference 7B
John is buying his first home for £285,000 and an office for his business for £525,000. How much stamp duty land tax is payable in total on the two properties?
Select one:
a. £20,000.
b. £15,750.
c. £34,250.
d. £25,250.
b. £15,750.
chapter reference 7A1-2
Angela sold £12,744 worth of shares which were held in her stockbroker’s nominee account. How much stamp duty reserve tax, if any, would she be responsible for paying on this transaction?
Select one:
a. £63.72.
b. £65.
c. Nil.
d. £63.71.
c. Nil.
chapter reference 7B
Bernie is buying his main residence for £1m and Howie is buying a commercial property for the same price. Who will pay more stamp duty land tax, and by how much?
Select one:
a. Bernie will pay £500 more than Howie.
b. Howie will pay £500 more than Bernie.
c. Howie will pay £4,250 more than Bernie.
d. Bernie will pay £4,250 more than Howie.
d. Bernie will pay £4,250 more than Howie.
chapter reference 7A1
Liam has moved and has bought a bigger house for £525,000. The value of the property is £495,000 and the previous owner leaves furniture and appliances valued at £30,000. How much stamp duty land tax will Liam have to pay?
Select one:
a. £16,250.
b. £14,850.
c. £21,000.
d. £14,750.
d. £14,750.
chapter reference 7A1
Bill and Yvonne jointly own their property which is valued at £280,000. Having recently divorced, the house is to be assigned to Yvonne. How much stamp duty land tax, if any, will be due because of this transfer of ownership?
Select one:
a. £8,400.
b. £1,400.
c. Nil.
d. £4,200.
c. Nil.
chapter reference 7A1
What tax is payable on the transfer of a unit trust valued at £5,000?
Select one:
a. Stamp duty reserve tax, rounded up to the nearest penny.
b. Stamp duty, rounded up to the nearest penny.
c. Stamp duty, rounded up to the nearest £5.
d. Stamp duty reserve tax, rounded up to the nearest £5.
c. Stamp duty, rounded up to the nearest £5.
chapter reference 7B
Andy has recently purchased £30,000 worth of shares in a UK domiciled exchange traded fund. How much, if anything, will he have paid in stamp duty?
Select one:
a. Nil.
b. £1,000.
c. £1,500.
d. £15,000.
a. Nil.
chapter reference 7B
Kevin, who is not a first-time buyer, purchased his house for £605,000 but only paid stamp duty land tax on £598,000. This was because £7,000 of the purchase price was for:
Select one:
a. repairs made by the vendor between exchange and completion.
b. carpets and curtains.
c. a structural survey.
d. legal fees.
b. carpets and curtains.
chapter reference 7A1
Freya buys a parcel of shares through her stockbroker for £26,748. The stamp duty reserve tax payable will be:
Select one:
a. £133.74.
b. £267.48.
c. £270.
d. £135.
a. £133.74.
chapter reference 7B
Len, who is not a first-time buyer, purchases a house for £550,000. Assuming this is Len’s only property, how much stamp duty land tax must he pay?
Select one:
a. £17,500.
b. £11,000.
c. £16,500.
d. £22,000.
a. £17,500.
chapter reference 7A1
Gavin has just bought a new home in Kensington from personal funds for £4.5m. Assuming this is his only property, how much stamp duty land tax is payable on the purchase?
Select one:
a. £214,500.
b. £453,750.
c. £225,000.
d. £540,000.
b. £453,750.
chapter reference 7A1
