Stamp duty for first time buyers has been abolished for most purchasers.
Stamp duty for buy to let property has increased substantially from April 2016.
Stamp duty for second homes also attracts a 3 percent surcharge from April. Mobile homes, caravans and houseboats are exempt.
Stamp duty refunds are available for home movers replacing their main residence. The original home must be sold within 3 years.
Stamp duty rates on UK property transactions are linked to the property selling price.
Rates of stamp duty (SDLT) increase in line with property value and there are a number of SDLT thresholds giving clear demarcation between the different rates. Stamp duty rates are different for residential and non residential property.
A dwelling is regarded as being "residential" if it complies with certain criteria. In most cases the definition of a residential dwelling applies to:
The freehold residential stamp duty rates in England and Northern Ireland are shown in the table below:
|Tax Band||Normal Rate||Additional Property|
|less than £125k||0%||3%*|
|£125k to £250k||2%||5%|
|£250k to £925k||5%||8%|
|£925k to £1.5m||10%||13%|
|rest over £1.5m||12%||15%|
|* An additional property purchased for less than £40k will attract 0% tax. For purchases from £40k to £125k the SDLT rate will be 3% on full purchase price.|
Under the current stamp duty system a 3% surcharge applies to all transactions involing the purchase of an additional property. Additional property types include buy to let investments and second homes. The surcharge applies to the full purchase price above an initial threshold of £40,000.
A stamp duty exemption normally applies if someone is replacing their main residence. In such a case the higher stamp duty rates would not apply. For a definition of a main residence please refer to our stamp duty for second homes section.
A permanent change to the initial stamp duty threshold for first time buyers means that anyone buying their first home won't be liable for stamp duty if the purchase price is below £300,000.
Further relief is available for purchases up to £500,000 to help first time buyers in more expensive locations such as London. Please refer to our stamp duty for first time buyers page for more information.
The stamp duty calculators below indicate how much tax will be payable for both single and additional freehold residential property purchases in England and Northern Ireland. SDLT calculations are also now available for first time buyers.
Specific stamp duty rates and bands apply to transactions relating to non residential property. The non residential stamp duty rates are different to the residential stamp duty rates.
Non residential property refers to any property that is not defined as being residential in nature. Examples of non residential properties include shops, offices agricultural land and mixed use properties.
Non residential stamp duty rates also apply to 6 or more residential properties purchased in a single transaction
The current stamp duty rates applied to non residential freehold property transactions are shown in the table below. If the value is above the payment threshold, SDLT is charged at the appropriate rate on the amount of the chargeable element within that band.
|Tax Band||SDLT Rate|
|Up to £150k||0%|
|£150k to £250k||2%|
For new leases stamp duty is payable on a combination of
The stamp duty costs are added together to give the total stamp duty liability.
For transactions involving an existing or assigned lease, stamp duty is only payable on the lease price.The Net Present Value (NPV) is based on the total rent over the life of the lease. No stamp duty is payable on the rent if the NPV is less than £150K.
The following stamp duty rates and bands apply to the NPV of the rent payable under the lease:
|NPV of rent payable||SDLT Rate|
|Up to £150k||0%|
|£150k to £5m||1%|
Stamp duty calculations with new stamp duty thresholds. One ckick SDLT Calculations!
Following Changes in 2018, Land Transaction Tax (LTT) has replaced Stamp Duty in Wales.