Three taxes in Wales will be affected:
- Stamp Duty Land Tax
- Landfill tax
- Income tax
A Welsh language version of this story is also available.
Land Transaction Tax
From 1 April 2018, Land Transaction Tax (LTT) will replace Stamp Duty Land Tax (SDLT).
LTT will be collected by the Welsh Revenue Authority (WRA). The Welsh Government published rates and bands for LTT in October 2017.
HMRC will not accept SDLT returns for land transactions in Wales with an effective date of transaction on or after 1 April 2018.
If you plan to purchase land or property in Wales on or after 1 April 2018, ask your conveyancer or solicitor about the arrangements for LTT.
If you are buying land and/or property that fall in more than one tax jurisdiction on or after 1 April 2018, read this guidance to ensure you pay the right tax.
You can read the transitional guidance on the WRA website.
If you need help with assessing the amount of tax you need to pay, you can find a dedicated tax calculator on the WRA website.
Conveyancers and solicitors
If you are a conveyancer or a solicitor representing people buying and leasing property and land in Wales, you need to register on the WRA website before filing a tax return for transactions with an effective date of 1 April 2018 or after.
The WRA is encouraging businesses to sign up at least 10 days before their first transaction that includes LTT.
Landfill Disposals Tax
From 1 April 2018, Landfill Disposals Tax (LDT) will replace landfill tax in Wales. This will be administered by the WRA and payable by landfill operators in Wales.
If you are a landfill site operator in Wales, you can register now for the LDT.
Welsh rates of income tax
From 6 April 2019, Welsh rates of income tax will be introduced.
Income tax will continue to be collected by HMRC.
You will not need do anything as long as HMRC has your correct address - check and update your address through your personal tax account.
Revenue from the Welsh rates of income tax will go to the Welsh Government.
For more information on Welsh taxes visit the WRA website.
Read UK and Welsh Governments confirm next steps in Welsh tax devolution.