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Professional & Financial Services
Stamp Taxes
Pay Stamp Duty Land Tax (SDLT)
When and how to pay SDLT on property purchases in England and Northern Ireland, including rates, reliefs, and deadlines.
UK-wide
Guide summary
You must pay Stamp Duty Land Tax (SDLT) when buying property in England or Northern Ireland. File a return and pay within 14 days of completion. Rates depend on the property value and type. Check if you qualify for reliefs like first-time buyer or commercial property rates.
- File an SDLT return within 14 days of completion
- Pay SDLT within 14 days of completion
- Residential rates: 0% up to £125,000, 2-12% above
- Commercial rates: 0% up to £150,000, 2-5% above
- First-time buyers: 0% up to £300,000, 5% up to £500,000
- Additional 5% for second homes or buy-to-lets
- Non-UK residents pay extra 2%
- Late filing penalty: £100 after 14 days, £200 after 3 months
- Late payment interest: 8% per year
- Check exemptions like gifts or divorce transfers
On this page
UK-wide
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Stamp Duty Land Tax (SDLT) is a tax you pay when buying property or land over a certain value in England and Northern Ireland. You must file a return and pay within 14 days of completion.
When you pay SDLT
You pay SDLT when:
- Buying a freehold property
- Buying a new or existing leasehold
- Buying through a share transfer (share of a freehold)
- Being transferred property in exchange for payment (e.g. buying out a partner)
You don't pay SDLT on:
- Properties in Scotland (pay LBTT instead)
- Properties in Wales (pay LTT instead)
- Inherited property (even if assuming a mortgage)
- Gifts with no mortgage attached
- Property transferred in divorce under court order
Commercial and mixed-use property
Non-residential property has lower SDLT rates. If a property contains both residential and commercial elements (like a shop with a flat above), the lower non-residential rates apply to the whole purchase.
First-time buyers
If you've never owned property anywhere in the world, you may qualify for first-time buyer relief. Both buyers must be first-time buyers if purchasing jointly.
Second homes and buy-to-let
If you already own property (including abroad) and buy another residential property, you pay an additional 5% on top of standard rates. This also applies to all purchases by companies.
SDLT on commercial leases
When taking a commercial lease, you may pay SDLT on both the premium (upfront payment) and the rent. Rent is taxed on its Net Present Value (NPV) over the lease term.
How SDLT is calculated
SDLT is a progressive tax - you pay each rate only on the portion within each band, not the whole purchase price.
Filing your return and paying
You must file an SDLT return and pay within 14 days of completion. Your solicitor or conveyancer usually handles this on completion day.
Reliefs and exemptions
Several reliefs can reduce or eliminate SDLT in specific circumstances.