Stamp Duty Land Tax (SDLT) is a government tax that you pay when you buy property or land in England or Northern Ireland. It applies to both residential and commercial properties above a certain price threshold.

Whether you’re buying your first home, upgrading to a larger property, or investing in a buy-to-let, understanding how SDLT works can help you plan your budget more effectively.

When Do You Pay Stamp Duty?

You usually pay SDLT if you:

• Buy a freehold or leasehold property.
• Purchase through shared ownership.
• Take on a transfer of ownership in exchange for payment (even if it’s a gift).

How Much is Stamp Duty?

The amount you pay depends on:

• The purchase price of the property.
• Whether it’s your primary residence, a second home, or a buy-to-let.
• If you’re a first-time buyer, you may qualify for relief.

SDLT Rates for Residential Property (as of 2025–26):

📌 Second homes or buy-to-let properties usually incur a 5% surcharge on top of the standard rates.

First-Time Buyer Relief:

If you’re a first-time buyer, you pay:

• 0% on the first £300,000.
• 5% on the portion between £300,001 and £500,000.
• No relief if the property costs more than £500,000.

When and How Do You Pay SDLT?

• SDLT must be paid within 14 days of completing your property purchase.
• In most cases, your solicitor or conveyancer will handle the payment and file the return with HMRC on your behalf.