Sale by Tender Fees
A bungalow was advertised for sale. I arranged to view the property with the estate agent. Interested parties were invited to submit sealed bids for the bungalow. My bid of £350,000 was the winning bid. I was told that my purchase of the property was conditional on paying the estate agent a tender fee of £5,000 (including VAT). I agreed to this condition.
The chargeable consideration given for the property is £355,000 (purchase price plus sale by tender fee).
The SDLT due on £355,000 = £7,750.
Here is a breakdown of how the SDLT was calculated:
|Purchase Price Bands (£)||Percentage rate||SDLT due (£)|
|Up to 125,000|
|Above 125,000 and up to 250,000||2||2500|
|Above 250,000 and up to 925,000||5||5250|
|Above 925,000 and up to 1,500,000||10|