Emma wants to buy a new apartment in England.
She knows that Stamp Duty will be added to the price of the apartment.

Stamp Duty rates are shown below:
• pay nothing on the first £250 000 of the price of the apartment,
• pay 5% on the part of the price of the apartment that is above £250 000 and up to and including £925 000,
• pay 10% on the part of the price of the apartment that is above £925 000 and up to and including £1 500 000.

Find the Stamp Duty payable on an apartment costing £302 000.

To calculate the Stamp Duty payable on an apartment costing £302,000, we need to determine the portions of the price that fall within each of the Stamp Duty brackets and then calculate the Stamp Duty for each portion.

Given:

- First £250,000: 0% Stamp Duty

- £250,001 to £925,000: 5% Stamp Duty

- £925,001 to £1,500,000: 10% Stamp Duty

Let's break down the price of the apartment:

1. £250,000 or less: 0% Stamp Duty

2. £250,001 to £925,000: £925,000 - £250,000 = £675,000

3. £925,001 to £1,500,000: £302,000 - £925,000 = £0 (no amount in this bracket)

Now, let's calculate the Stamp Duty for each portion:

1. For the portion from £250,001 to £925,000:

- Amount in this bracket = £302,000 - £250,000 = £52,000

- Stamp Duty = 5% of £52,000

= £52,000 * 0.05

= £2,600

2. For the portion from £925,001 to £1,500,000:

- There is no amount in this bracket, so no Stamp Duty is payable.

Now, let's sum up the Stamp Duty payable:

Total Stamp Duty = Stamp Duty for portion 1 + Stamp Duty for portion 2

= £2,600 + £0

= £2,600

Therefore, the Stamp Duty payable on an apartment costing £302,000 is £2,600.