Paul Kehoe (Wexford, Fine Gael)
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113. To ask the Minister for Finance his plans to introduce a transitional period for the new rate of stamp duty until 31 December 2017 in order to allow all deals already commenced with deposit paid to be concluded with regard to the proposed rise in stamp duty from 2% to 6% for commercial properties; and if he will make a statement on the matter. [49520/17]

Paschal Donohoe (Dublin Central, Fine Gael)
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The rate of stamp duty on commercial property was increased from 2% to 6% by way of a Budget Day Financial Resolution in respect of all relevant conveyances executed on or after 11 October 2017. Finance Bill 2017 contains transitional measures in relation to extending the previous 2% rate for certain transactions that would have reached an advanced stage in the sale process before Budget day on 10 October 2017. The 2% rate of stamp duty applies where the seller and purchaser entered into a contract that was binding on both of the parties before 10 October 2017 and where the conveyance is executed on or before 31 December 2017.  I do not propose to broaden the scope of these transitional measures.

It is not possible to be definitive about whether the payment of a deposit would mean that a purchaser had entered into a binding contract for the purchase of a property or whether the deposit was merely a stage in the process leading up to a binding contract. If purchasers are in doubt about the status of a transaction they should consult with their legal advisors to determine whether they had, in fact, entered into binding contracts before 10 October 2017 and, indeed, whether the conveyances will be executed on or before 31 December this year.