Paying Stamp Duty and Land Tax (SDLT) for Residential Property
The table below applies for all freehold residential purchases and transfers and the premium paid for a new lease or the assignment of an existing lease. (If the property will be used for both residential and non-residential purposes the rates differ).
New leases
If the transaction involves the purchase of a new lease with a substantial rent there may be an additional SDLT charge to that shown below, based on the rent.Residential land or Property Stamp Duty Land Tax rates and thresholds
| Purchase price/lease premium or transfer value | SDLT rate | SDLT rate for first-time buyers |
|---|---|---|
| Up to £125,000 | Zero | Zero |
| Over £125,000 to £250,000 | 1% | Zero |
| Over £250,000 to £500,000 | 3% | 3% |
| Over £500,000 | 4% | 4% |
If the value is above the payment threshold, SDLT is charged at the appropriate rate on the whole of the amount paid. For example, a house bought for £250,000 (by someone who is not a first-time buyer) is charged at 1 per cent, so £2,500 must be paid in SDLT. A house bought for £950,000 is charged at 4 per cent, so SDLT of £38,000 is payable.
First Time Buyers
The first time buyer’s £250,000 threshold applies from 25 March 2010
up to 24 March 2012 inclusive.Avoid Paying Stamp Duty and Land Tax Due
There a few stamp duty mitigation schemes which will allow you to avoid paying stamp duty land tax completely but there will be a chargeable fee for the tax lawyers to enable this exemption.
These stamp duty mitigation schemes benefit purchases, at the lower level, above £400,000 and substantially help purchasers paying in excess of £3,000,000 and above. These stamp duty mitigation schemes can benefit both residential and commercial purchases or mixed use.
For more information, please contact Zach Kendal initially on 0870 063 8661 and you could save your Stamp Duty Tax costs up to 50% or more on your purchase today! Remember, we can still have our Tax Consultants may help you Save your Stamp Duty costs EVEN if you have already exchanged - don't delay call 0870 063 8661 now.
Independent Stamp Duty Mitigation; Stamp Duty Exemption Planning Information. If you could potentially save £1000's by using Stamp Duty Land and Tax planning strategies, why would you NOT want to save your money? For information of users: This material is published for the information of clients. All stamp duty and land tax mitigation enquiries are referred to a network of selected tax professionals.
