Stamp Duty

Published / Last Updated on 04/07/2019

Stamp Duty 2019 - SDLT - Stamp Duty Land Tax known as Stamp Duty

Stamp Duty is usually paid to HMRC by your Solicitor on the completion of the property purchase, the amount will depend upon the value of your property.

Before 4th December 2014 Stamp Duty Land Tax (not in Scotland) was charged at a single % rate on the full property price but after this date, tax is paid as a % of the purchase price in bands as follows:

Try our handy Stamp Duty Calculator

 Stamp Duty Tax Rates (not Scotland) 06/04/2019 to 05/04/2020 
 Rates    Residential Property Value Tiers
 0.00 %    £0 to £125000
 2.00 %    £125000 + to £250000
 5.00 %    £250000 + to £925000
 10%    £925000 + to £1500000
 12%    £1500000 +
    For example, a property bought for £350,000 has SDLT payable at £250,000 X 2% plus £100,000 X 5%
    Property bought inside a corporate envelope e.g. Ltd Company
    taxed at above rates until value £500,000 then
 15%    £500,000 + enveloped dwellings *

* Enveloped Dwellings Stamp Duty: Higher Rate of Stamp Duty payable if a residential property is bought by a 'none natural person' e.g. a corporate structure, a business, a partnership, a collective investment, a  trust.  The limit for the higher 15% rate stamp duty was £2,000,000+ properties but this was brought down to £500,000+ properties with effect 20 March 2014.  There is also a yearly tax payable on see Annual Tax on Enveloped Dwellings (ATED)

Shared Ownership:  stamp duty land tax is not due on shared equity scheme property until ownership reaches 80%
Zero Carbon Flats:  No stamp duty land tax is payable on zero carbon flats purchased up to £500,000

2nd Properties:  An additional levy of 3% is payable across all bands for purchases over £40,000.

Scotland Land & Buildings Transaction Tax

Scotland introduced a separate Land & Buildings Transaction Tax (LBTT) with effect from 01/04/2014.

 Land & Buildings Transaction Tax Rates 06/04/2019 to 05/04/2020 
 Rates    Residential Property Value Tiers
 0%    £0 to £145,000
 2%    £145,001 to £250,000
 5%    £250,001 to £325,000
 10%    £325,001 to £750,000
 12%    £750,000 +

Speak to us today to find out if you have to pay stamp duty on your property purchase.

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