Stamp Duty is one of many costs that new homeowners have to budget for when buying a house or apartment and how much you have to pay is dependent on the value of the purchased property
Stamp Duty in Ireland is a Government charge relating to conveyancing (the act of transferring ownership of a property to a buyer). As it is a charge applied by the Government, it is the responsibility of the Revenue Commissioners to collect it every time a transfer of ownership goes through a solicitor. The amount of Stamp Duty paid is dependent on the value of the property (as stated in the property valuation) being bought.
The duty is charged at 1% of the property’s value up to €1 million. For properties whose values exceed the €1 million mark, a higher 2% charge is applied on the balance exceeding €1 million. However, there are some exceptions to the above charges. For example, those who are buying their home under a Local Authority Tenant Purchase or similar schemes only have to pay a maximum fee of €100.
The above calculation is used by your solicitor to work out how much stamp duty you would have to pay. This amount would have to be paid to the Revenue before the sale is closed. When it is paid, the Revenue stamp the property deeds as without the stamp, the deeds cannot be registered.