If you have never heard of stamp duty, then you have most likely have not bought a home in the United Kingdom in recent years.
For most people, thinking of stamp duty as a transaction tax or licensing fee on the purchase of property is the best way to think of it.
It is not a property tax in the true sense of the word since it is paid only one time - when you buy the property.
Here are a few facts that will help you learn more about what is stamp duty.
First of all, stamp duty is a one-time-only fee that is paid by the person or entity that is buying the property.
It is paid on the purchase price of the property and is not included in the mortgage, like some other fees can be.
The amount you pay will vary greatly depending on where you live, in what country, and the price of your property.
In general, the higher the property value, the higher percentage you will pay for stamp duty.
Traditionally, stamp duty was the fee that was charged for a real "stamp," or the transaction that took place at the courthouse or recorder's office when a piece of property changed hands.
Of course, no one really physically stamps anything anymore, but the government still needs its slice of the pie.
When asked what is stamp duty, a lot of people will tell you that it is a mandatory taxation that you just can't get around, but that is not the case.
In the past, people have almost always simply paid the amount they were told to by the government, but there are now companies that will help you work your way through the loopholes in the rules that usually only the richest people are aware of.
For instance, if you are a first-time home buyer, then you could end up paying a stamp duty that is considerably lower than someone who has bought a home before.
In addition, the definition of "first-time home buyer" is constantly changing, and you may find that even if you have bought or sold a home in the past, you will still qualify.
Another way to get around paying the full amount of stamp duty is to designate your home as residential rather than as an investment property.
By making small changes to the way in which you use or say you will use the property, you will save a lot of money.
Of course, only a properly qualified stamp duty consultant will be able to advise you of what your options are, but the good news is that there are options out there for you.
When asked what is stamp duty, most people will tell you that it is just the price you have to pay for buying property these days, but it doesn't have to be.
By doing your research and finding a company to help you, you may end up buying a piece of property without paying any duty at all.