Professional & Financial Services Stamp Taxes UK-wide

Pay stamp duty on shares

How to pay stamp duty or SDRT when buying UK company shares, including rates, exemptions, and the stamping process.

Guide summary

If you buy shares through a broker or trading platform, you do not need to do anything – the 0.5% tax is deducted automatically. For paper share transfers over £1,000, you must get the stock transfer form stamped by HMRC within 30 days. Email the completed form to stampdutymailbox@hmrc.gov.uk. No duty is due on AIM-only shares or gifts.

  • Pay 0.5% stamp duty on electronic share purchases via broker (automatic)
  • Email stock transfer forms to stampdutymailbox@hmrc.gov.uk within 30 days
  • Round stamp duty up to the nearest £5 for paper transfers
  • No duty on paper transfers of £1,000 or less – mark certificate 1
  • No duty on AIM-only shares – use certificate 2 if a gift
  • Use form J30 for fully paid shares, J10 for partly paid
  • Allow 15 working days for HMRC to stamp your form
  • Keep stamped forms in your company records – no need to send to Companies House
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When you buy UK company shares, you may pay stamp duty (on paper transfers) or Stamp Duty Reserve Tax (SDRT) (on electronic transfers). Both are charged at 0.5% of the purchase price.

Electronic share purchases (SDRT)

If you buy shares through a broker or trading platform, SDRT is collected automatically. Your broker adds 0.5% to your purchase and pays it to HMRC - there's nothing to file or claim.

Paper share transfers

Private company shares and some off-market purchases use paper stock transfer forms. You must get these stamped by HMRC if the consideration exceeds £1,000.

When you don't pay stamp duty on shares

No stamp duty or SDRT is payable on:

  • AIM-only shares: Shares traded only on the Alternative Investment Market (not also on main market)
  • Consideration of £1,000 or less: No duty on small transfers - complete certificate 1 on the form
  • Gifts: No consideration means no duty (but certificate 2 must be completed)
  • Inheritance: Shares transferred through an estate
  • Divorce transfers: Between spouses under court order
  • Newly UK-listed shares: 3-year exemption for companies listing from November 2025

Share purchases by companies

When a company buys shares in another company, the same 0.5% rate applies. However, group relief may be available for transfers between 75% group companies - the stamp duty is deferred rather than eliminated, and clawback applies if the companies leave the group within 3 years.

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