Stamp duty calculator

Stamp duty is also known as stamp duty land tax, or SDLT. You have to pay stamp duty when you buy a property or land in the UK. But you may qualify for first-time buyer stamp duty relief. Use our stamp duty calculator to find out if you have to pay a higher rate of stamp duty on a buy-to-let property or second home. Explore our guide to learn about stamp duty rates and thresholds in England and Wales.

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What is stamp duty?

Stamp duty land tax (SDLT) is a government tax paid on property and land purchases.

Thresholds and rates are different depending on where you live in the UK.

Use our stamp duty (SDLT) calculator to work out how much stamp duty you’ll have to pay.

Stamp duty news: Boris Johnson's proposed stamp duty changes

Author: Sebastian Anthony. Published: 1 August 2019.

The UK's new prime minister, Boris Johnson, has suggested that the government may make some sweeping changes to stamp duty in England and Northern Ireland.

Johnson's stamp duty changes could be implemented at an emergency government budget on 7 October 2019.

The new prime minister is proposing three main changes to how stamp duty is paid in England and NI:

  • The seller pays stamp duty, not the buyer. This means all first time buyers would be completely exempt from stamp duty.
  • Increase the first stamp duty threshold from £125,000 to £500,000. No stamp duty would be paid on property sales under £500,000.
  • Reduce the top rate of stamp duty from 12% to 7%.

Johnson hopes that these changes would encourage more property sales in the UK, and make it easier for first time buyers to get onto the property ladder.

Stamp duty threshold

The stamp duty thresholds are the same in England and Northern Ireland, but different in Scotland and Wales.

In England and NI the threshold where you start paying stamp duty is £125,001. In Scotland the threshold is £145,001, and in Wales it's £180,001.

First time buyer stamp duty relief only applies in England and Northern Ireland on properties worth up to £500,000.

There is a stamp duty surcharge of 3% on buy to let and second properties worth more than £40,000.

There are further stamp duty thresholds as the purchase price of a property increases. The stamp duty rate also increases as the property price crosses each threshold.

Stamp duty rates

Purchase Price Of Property Rate Of Stamp Duty Buy To Let / Additional Home Rate
Up to £125,000 0% 3%
£125,001 to £250,000 2% 5%
£250,001 to £925,000 5% 8%
£925,001 to £1,500,000 10% 13%
Over £1,500,001 12% 15%

Stamp duty rates are set by the government. The rate of stamp duty depends on how much you pay for a building (or land).

There are also different stamp duty rates across the country. England and Northern Ireland have one set of stamp duty rates. Scotland and Wales each have their own stamp duty rates and thresholds.

The stamp duty rate increases by 3% if you're buying a property worth more than £40,000 that will not be your primary home. For example, if you were buying a holiday home or a buy to let property.

The stamp duty rates in our stamp duty calculator and in this guide are accurate for the 2019/2020 tax year. The rate of stamp duty increases as the cost of a property goes up.

How much stamp duty will I have to pay?

The amount of stamp duty you pay depnds on if you're a first time buyer, where in the UK you buy and if it's your main residence.

In England and Northern Ireland you have to pay stamp duty on properties worth more than £125,000.

Stamp duty rates (SDLT) in England and Northern Ireland

Property Purchase PriceStamp Duty Rate
Up to £125,0000%
The portion of the purchase price between £125,001 and £250,0002%
The portion of the purchase price between £250,001 and £925,0005%
The portion of the purchase price between £925,001 and £1,500,00010%
The remaining portion above £1.5 million12%

Stamp duty is charged much like income tax, with a tax free band and increasing band rates after that. This means you could end up paying multiple rates on one property.

So, it's always worth negotiating the property price with the seller. The lower the price, the less stamp duty you have to pay.

Stamp duty in Scotland

Stamp duty in Scotland is called land and buildings transaction tax (LBTT). The stamp duty threshold is £145,000. First time buyers do not get stamp duty relief.

LBTT rates in Scotland

Min cost of propertyMax cost of propertyStamp duty rate
£0£145,0000%
£145,001£250,0002%
£250,001£325,0005%
£325,001£750,00010%
£750,000+12%

Stamp duty in Wales

Stamp duty in Wales is called land transaction tax (LTT). The stamp duty threshold is £180,000. First time buyers are not exempt from paying stamp duty.

LTT rates in Wales

Min cost of propertyMax cost of propertyStamp duty rate
£0£180,0000%
£180,001£250,0003.5%
£250,001£400,0005%
£400,001£750,0007.5%
£750,001£1,500,00010%
£1.5m+12%

First time buyer stamp duty

In England and Northern Ireland, most first time buyers are exempt from paying stamp duty. There are no concessions for first time buyers in Scotland or Wales.

To qualify as a first time buyer, you cannot have bought or inherited a property before.

Since 22 November 2017, first time buyers in England and NI do not have to pay stamp duty on the first £300,000 of properties worth up to £500,000. The rate on the amount between £300,000 and £500,000 is 5%. This is known as first time buyer stamp duty relief.

When the purchase price is over £500,000, you do not qualify for any first time buyer relief, and have to pay the standard rate on the entire purchase price.

First time buyer stamp duty relief only applies if you're purchasing a property that will be your main residence. First time buyers using a buy to let mortgage have to pay normal stamp duty rates.

Use our stamp duty calculator to work out whether you qualify for first time buyer’s tax relief.

Married couples buying a property together must both be first time buyers to get the stamp duty relief. Unmarried couples buying jointly can get a reduced rate of stamp duty if only one of you is a first time buyer.

Stamp duty on shared ownership

Since October 2018, first time buyers purchasing shared ownership properties can also claim stamp duty relief.

The new rule was backdated to 22 November 2017 when the original first time buyer exemption was first introduced. So, if you bought a shared ownership property after this date, you can claim a stamp duty refund.

Buy to let stamp duty

There is a 3% surcharge on stamp duty on any buy to let property or holiday home that costs more than £40,000.

Stamp duty rates on buy to let and second properties are as follows:

Buy to let stamp duty and second home SDLT rates in England and NI

Min cost of propertyMax cost of propertyStamp duty rate
£0£125,0003%
£125,001£250,0005%
£250,001£925,0008%
£925,001£1.5m13%
£1.5m+N/A15%

Buy to let stamp duty and second home LTT rates in Wales

Min cost of propertyMax cost of propertyStamp duty rate
£0£180,0003%
£180,001£250,0006.5%
£250,001£400,0008%
£400,001£750,00010.5%
£750,001£1,500,00013%
£1.5m+N/A15%

Buy to let stamp duty and second home LBTT rates in Scotland

Min cost of propertyMax cost of propertyStamp duty rate
£0£145,0003%
£145,001£250,0005%
£250,001£325,0008%
£325,001£750,00013%
£750,000+N/A15%

You may have to pay the 3% surcharge when you buy a new property if you have not sold your current property. This is because you technically own two properties at the same time, and your new property qualifies as a second home.

However, you can request a refund within 3 months of selling your old house. Or, within 12 months of submitting your self-assessed taxes - whichever comes later. You must have sold your previous property within three years of making the new purchase to get the refund.

Second home stamp duty exemption

You do not have to pay stamp duty on a second home if it is valued at (or your share is) less than £40,000.

Further exceptions to stamp duty charges on second homes are caravans, houseboats and mobile homes.

How and when to pay stamp duty

Stamp duty is payable within 30 days of the property purchase. You do not have to pay stamp duty when selling a property - though Boris Johnson has proposed to change this.

Your solicitor should sort out the paperwork for you. They often ask for payment before the sale is complete. Use the calculator above to work out how much you'll owe.

You do not have to pay stamp duty if you are remortgaging and staying in the same property.

Stamp duty refunds and exemptions

You can sometimes reclaim stamp duty. For example: you bought a shared ownership property after 22 November 2017 but before October 2018 when it was included in the first time buyer stamp duty exemption.

You can attempt to reduce your stamp duty rate if you purchase a property which just crosses over into a more expensive band. Ask the owner or estate agent to slightly lower the price to reduce the amount of stamp duty you have to pay.

You do not have to pay stamp duty when you transfer your property to another individual as a gift, as part of a divorce settlement, or in your will.

Edited by: Sarah Guershon

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Last updated: 23 August, 2019

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