What is Stamp duty?

If you purchase a residential property or land for more than £125,000 you will have to pay Stamp Duty Land Tax (SDLT) to HM Revenue & Customs (HMRC).

The amount of Stamp Duty you will pay varies based on the property value. The tax is based on the purchase price, and rates vary every so often based on government policy changes.

If a property being purchased is valued at £140,000, then based on the current SDLT rate of a 1% charge, £1,400 would be payable to HMRC. For a property purchased for £300,000 the rate is 3%, and therefore £9,000 would be payable.

Residential Stamp Duty Rates

(Not including additional property purchases were a 3% surcharge may be applicable)

Property Value Rate
Up to £125,000 0%
£125,001 - £250,000 2%
£250,001 - £925,000 5%
£925,001 - £1,500,000 10%
Over £1,500,000 12%

Commercial Stamp Duty Rates

Property Value Rate
Up to £150,000 0%
£150,001 - £250,000 2%
Over £250,000 5%


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