Stamp duty loophole threatens to reduce NAMA payments to banks

BANKS face being paid a fraction of what their properties are worth by NAMA in cases where developers used a loophole to avoid paying stamp duty on it, according to Finance Minister Brian Lenihan.

Developers who saved themselves 10% on stamp duty by failing to complete the legal transfer of land and property will have to pay it, Mr Lenihan said.

The loophole was used not just by developers for over a decade but also by the National Roads Authority and local authorities to avoid paying hundreds of millions of euro to the state.