MSPs have approved a bill which will allow the Scottish Parliament to determine and collect a progressive tax on the sale of any properties, it was announced this week.

In what is being hailed as a “historic” move by ministers, Holyrood representatives have said that the change is hoped to revitalise the ailing Scottish property market.

The change, which is set to be approved by the Scottish Parliament with a landslide vote later this week, will introduce a new “Land and Building Transaction Tax” from April 2015.

Based on information which was exposed during the bill’s consultation process, the government suggested indicative rates which would imply that those buying properties worth under £180,000 would pay no stamp duty.

Tax would then be applied at a “stepped” rate on any amount over £180,000 paid.

Current stamp duty rate, which applies throughout the rest of the UK, does not apply to properties under the price of £125,000 but is then applied to the total sum paid in a housing transaction.

A difference in selling price of just £1 can lead to thousands of pounds in additional tax for any given property buyer.

Under current rules, a property selling for £250,000 is liable for one per cent stamp duty, which for purchasers in the UK will set them back £2,500.

A buyer securing a house that costs £250,001, however, would have to pay three per cent as tax, which works out as £7,500.

It is claimed that the new system will be more progressive, as it includes a zero rate along with at least two further bands.

Scotland’s Finance Secretary, John Swinney, said that introducing the new tax would have a significant impact on the country’s economy.

He said: "With parliament's approval the passing of this bill will be a huge milestone for Scotland - it will enable us to set and collect taxes in a more cost effective and fairer way than the UK government.

"This bill will give us the opportunity to better support first time buyers trying to get onto the housing ladder or families buying bigger homes that better suit their needs.

He added: "It is this government's belief that tax should be proportionate. That means taxpayers should have certainty about what they should pay - it should be convenient and it should be efficient.

"It is my vision that Scotland should have a modern and efficient tax system, grounded on solid foundations and delivering sustainable economic growth.”

Gavin Brown, speaking on behalf of Scottish Conservative finance, warned that a hasty introduction of the rates could be harmful.

He said: “While welcoming much of the bill we are disappointed the Scottish Government refused to accept my amendment forcing it to give 12 months' notice of the rates.

"This is a particular problem because this is an entirely new tax with a different framework, rates and thresholds.

"All of this creates great uncertainty within Scotland's business community."