Keep on top of things with a Stamp Duty calculator
Like everything else in the Irish economy, the way stamp duty is calculated has undergone major overhauls in the past few years or so. It has always been a tricky thing for many people to get their heads around, so hopefully we can be of some assistance in that regard.
Stamp duty is a form of tax owed to the Irish government for the approval of certain documents used in the transfer of property from one owner to another. This amount payable is dependent on two main factors. The first is the value of the property in question, which will vary depending on the property type - but we're only focussing on houses today.
The second factor that will affect the amount of stamp duty owed is the status of the buyer. This means whether the buyer is classed as a first time buyer, an investor, a remortgager or someone trading up in the property market.
Understanding the differences between these four categories will play a huge part in getting to grips with how stamp duty is calculated (don't worry, we'll give you the link to a house duty calculator afterwards).
For a first time buyer, there is zero per cent of the value of the house payable for houses under the value of €317,500, increasing up as high as nine per cent for houses valued in excess of €634,900. By way of contrast, investors must pay three per cent on houses valued at €127,001 to €190,500, increasing by approximately one per cent every €60,000 in additional property value all the way up to the maximum of nine per cent for all properties worth in excess of €634,900.
If that still sounds a little confusing, and you can't work out what is due on that new house you've been eyeing up, check out the extremely handy house duty calculator available at www.nms.ie/stampdutycalculator.htm.