Stamp Duty UK

About Stamp Duty UK

Stamp duty was introduced in England in 1694 to pay for the war against France. The tax was charged on legal documents, newspapers, pamphlets, and other paper goods. The tax required an actual stamp to be affixed to documents to show the tax had been paid. Stamp duty was highly lucrative. It was one of the taxes imposed on the American colonies, most notably through the Stamp Act of 1765, which triggered the American Revolution. Stamp duty evolved into modern document taxes on property transactions, stock transfers, and insurance premiums. UK stamp duty on property purchases, now called Stamp Duty Land Tax, remains a major source of government revenue. Critics argue stamp duty on property transactions reduces labor mobility by discouraging people from moving for work.