UK Stamp Duty

Stamp duty explained


Stamp Duty News

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 following the introduction of a 3 percent surcharge.

Stamp duty for second homes has also increased as a result of the 3 percent surcharge. 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 calculations are different in England and Northern Ireland to LBTT calculations in Scotland and LTT calculations in Wales.

Stamp duty in the UK

Stamp duty was first introduced in England in 1694 and was levied to pay for the war with France.

UK Stamp duty history

Despite being a temporary solution to raise money, it was so successful that it remained in place well after the war years and eventually evolved into a permanent form of UK taxation.

The original form of stamp duty involved physically stamping an official document to indicate the appropriate tax had been paid on a transaction. Nowadays the physical stamp is no longer required as UK stamp duty taxation records are updated electronically.

For land transactions, provided the land acquired is located in the UK, then UK stamp duty tax is chargeable. This means that even if a property is purchased from overseas by someone who is not resident in the UK, the tax will still need to be paid.

UK Stamp duty on property.

UK Stamp Duty Land Tax (SDLT) is a charge on property transactions and came into effect on 1 December 2003. Stamp Duty land tax replaced the old stamp duty system which dated back over 300 years.

Stamp duty taxation is limited to the acquisition of property and land situated in the UK, the boundary being the low water mark of every part of the UK which borders the sea.

UK Stamp Duty Land Tax (SDLT) is payable on all property purchases over a certain purchase price, and the charge applies to all purchases of houses, flats and other land and buildings.

Stamp Duty in Scotland has been replaced by Land and Buildings Transactions Tax (LBTT). The new Scottish LBTT system is similar to SDLT but has different thresholds.

In Wales Stamp Duty has been replaced by Land Transaction Tax (LTT). The Welsh LTT system is similar to SDLT but with different taxation rates thresholds.

The rate of tax is a percentage of the monetary transaction, the amount being rounded down to the nearest pound. Stamp duty rates have been reviewed in recent times, please see our stamp duty changes and stamp duty rates sections for updated information.

For an instant calculation of stamp duty liability please use our stamp duty calculator .

UK Stamp duty on shares.

UK Stamp Duty Reserve Tax (SDRT) is payable on electronic share transactions when shares are transferred. UK stamp duty is not payable however when shares are first issued.

If shares are transferred electronically, stamp duty is automatically deducted at the time the transaction goes through.

This stamp duty calculator is designed to give you an idea of your stamp duty liability when buying a freehold residential property in England & N.Ireland. Stamp duty calculations are rounded down to the nearest pound.
SDLT Calculator

Stamp duty calculations with new stamp duty thresholds. One click SDLT Calculations!

SDLT Rates

UK stamp duty rates showing new and old SDLT thresholds. Instantly check UK SDLT rates.

LTT Calculator

Following Changes in 2018, Land Transaction Tax (LTT) has replaced Stamp Duty in Wales.

LBTT Calculator

Stamp Duty in Scotland is now called Land and Buildings Transaction Tax (LBTT).