Tax Rates & Allowances
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Duties
Stamp Duty Land Tax
Residential Land or property
Stamp Duty Land Tax (SDLT) is payable at each rate on the percentage of the purchase price that falls within each rate band as of December 4, 2014.
If you buy a residential property that means you'll own more than one, you'll generally be charged an extra 3% on the rates listed below as of April 1, 2016.
| Rate | Property value band |
|---|---|
| 0% | Up to £125,000 |
| 2% | £125,000 - £250,000 |
| 5% | £250,000 - £925,000 |
| 10% | £925,000 - £1,500,000 |
| 12% | Over £1,500,000 |
From 1st July to 30 September 2021 the following rates were applied
| Rate | Property value band |
|---|---|
| 0% | Up to £125,000 |
| 5% | £250,000 - £925,000 |
| 10% | £925,000 - £1,500,000 |
| 12% | Over £1,500,000 |
First Time buyers relief
With the introduction of First Time Buyer Relief in November 2017, the stamp duty system underwent significant adjustments. Anyone buying their first house is eligible for the relief. Up to £300,000, full stamp duty relief is offered, with a reduced responsibility up to £500,000. Any purchases for more than £500,000 will be subject to standard stamp duty rates on the entire purchase amount.
Non-Residential or mixed property
| Rate from 17 March 2016 | Purchase price/lease premium or transfer value |
|---|---|
| 0% | Up to £150,000 |
| 2% | £150,001 - £250,000 |
| 5% | Over £250,000 |
Lease rentals
| Effective date | Residential property | Non-residential or mixed property | Rate |
|---|---|---|---|
| NPV of rents | NPV of rents | % | |
| From 17 March 2016 | Up to £125,000 | Up to £150,000 | 0 |
| Over £125,000 | £150,001 to £5m | 1 | |
| N/A | Over £5m | 2 | |
| From 1 January 2010 | Up to £125,000 | Up to £150,000 | 0 |
| Over £125,000 | Over £150,000 | 1 |
SDLT is due on the lease premium and the 'net present value' (NPV) of the rent payable when the chargeable consideration includes rent.
The 0% SDLT band is unavailable in respect of any lease premium if the yearly rent for the leasing of non-residential property is £1,000 or higher.
