Stamp Duty Land Tax (SDLT) is the tax you pay when you buy property or land over a certain price in England and Northern Ireland. As of October 2026, GOV.UK says it starts at £125,000 for residential property, £300,000 for first-time buyers buying a home worth £500,000 or less, and £150,000 for non-residential property, and the return and payment are due within 14 days of completion.
Scotland and Wales have their own taxes: Land and Buildings Transaction Tax in Scotland and Land Transaction Tax in Wales. Everything below is from GOV.UK's Stamp Duty Land Tax guide.
Residential rates if this is your only home
SDLT is charged on slices of the price, like income tax, not on the whole amount.
| Portion of the price | SDLT rate |
|---|---|
| Up to £125,000 | Zero |
| £125,001 to £250,000 | 2% |
| £250,001 to £925,000 | 5% |
| £925,001 to £1.5 million | 10% |
| Above £1.5 million | 12% |
GOV.UK's worked example: a house bought for £295,000 pays nothing on the first £125,000, £2,500 on the next £125,000 and £2,250 on the final £45,000, a total of £4,750.
First-time buyers
If you and everyone buying with you are first-time buyers, you pay no SDLT up to £300,000 and 5% on the portion from £300,001 to £500,000. Over £500,000 you can't claim the relief at all and the normal rates apply. GOV.UK's example: a first-time buyer paying £500,000 owes £10,000.
That cliff edge at £500,000 is worth knowing before you offer. Going a little over it doesn't just add tax on the extra; it switches you onto the standard bands for the whole price.
Buying an additional property
You'll usually pay 5% on top of the normal rates if the purchase means you'll own more than one residential property. There's an exception if you're replacing your main residence: you won't pay the extra if the new home replaces your main residence and the old one was sold within 36 months of completing the new purchase.
The timing trap: if you haven't sold your old home on the day you complete the new one, you own two and must pay the higher rates. You may then be able to claim a refund once the old home is sold.
Buyers who aren't UK resident
If you weren't present in the UK for at least 183 days (6 months) in the 12 months before buying, you're not UK resident for SDLT. You'll usually pay a 2% surcharge on residential property in England or Northern Ireland, on top of any other rates that apply, including the additional property rates or first-time buyer rates.
Non-residential and mixed-use property
| Portion of the price | SDLT rate |
|---|---|
| Up to £150,000 | Zero |
| £150,001 to £250,000 | 2% |
| Above £250,000 | 5% |
This covers shops, offices, agricultural land that's part of a working farm, forests and 6 or more residential properties bought in one transaction. A mixed property has both elements, such as a flat above a shop. GOV.UK's example: a £275,000 freehold commercial property pays £3,250. You must still send an SDLT return for most non-residential deals under £150,000.
What you pay it on
SDLT is charged on the 'consideration', usually the price. It can also include goods, works or services, release from a debt, or the transfer of a debt such as an outstanding mortgage. For a new residential lease, you also pay 1% on the part of the rent's net present value above £125,000.
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When there's no SDLT and no return
GOV.UK lists transfers where you don't pay SDLT or file a return at all:
- No payment of any kind changes hands for the transfer.
- The property is left to you in a will.
- The property is transferred because of a divorce or the dissolution of a civil partnership.
- You buy a freehold for less than £40,000.
- You buy a new or assigned lease of 7 years or more with a premium under £40,000 and annual rent under £1,000.
- You use an alternative finance arrangement, for example to comply with Sharia law, where the provider pays SDLT when it buys.
Reliefs are different from exemptions. To claim a relief, including first-time buyer relief, you must complete an SDLT return even if no tax is due. And relief for multiple dwellings can no longer be claimed.
Getting SDLT back
You may be able to claim a refund if you paid the higher rates on a new main home and have since sold the old one, if you paid the non-resident surcharge and have since become UK resident, if you missed a relief, or if you paid residential rates when non-residential rates applied. Every buyer must be on the claim, and if you paid an agent to claim, you're still responsible for checking it's right. HMRC usually pays within 15 working days, and if it later finds the claim was wrong you repay it in full with interest, even when an agent made the claim for you.
How and when to pay
- Send an SDLT return to HMRC and pay within 14 days of completion.
- If you use a solicitor, agent or conveyancer, they'll usually file and pay on completion day and add it to their fees.
- If they don't, you file the return and pay yourself.
- Miss the 14 days and you can be charged penalties and interest.
If you're buying a rental, our guides to the best landlord apps and the HMRC app help with the admin that follows.
The verdict
Work out SDLT before you make an offer, not after. First-time buyers should watch the £500,000 limit, movers should watch the completion date on the old home, and anyone buying a second property should budget for the 5% surcharge. GOV.UK's SDLT calculator gives the exact figure for your deal.
Frequently asked questions
When does stamp duty start for a home?
As of October 2026, at £125,000 for residential property, or £300,000 for first-time buyers buying a home worth £500,000 or less.
Do first-time buyers pay stamp duty over £500,000?
Yes. Above £500,000 the relief can't be claimed and the standard residential rates apply to the whole price.
How long have I got to pay SDLT?
You send the return and pay within 14 days of completion. Most solicitors do it for you on completion day.
Does stamp duty apply in Scotland or Wales?
No. Scotland has Land and Buildings Transaction Tax and Wales has Land Transaction Tax.
