The following Tax guidance note provides comprehensive and up to date legal information covering:
The higher rates of stamp duty land tax (SDLT) apply to:
purchases of certain additional residential properties by individuals, and
purchases of residential properties by purchasers who are not individuals regardless of whether they hold any other residential properties
The higher rates are 3% more than the standard residential property rates of SDLT. For the applicable rates of SDLT, see Practice Note: Rates of SDLT. By introducing the higher rates, the government aims to support owner occupiers and first time buyers by making it more expensive to buy additional property such as second homes and buy-to-let properties. This Practice Note looks at when the higher rates apply and the interaction with other SDLT provisions such as multiple dwellings relief (MDR).
The 3% surcharge or supplemental charge is referred to as the higher rates of SDLT. There is also a higher rate of SDLT, which is a 15% rate. See Practice Note: 15% rate of SDLT for high-value residential property transactions.
SDLT ceased to apply to any land transaction involving any interests in or over land in Scotland from 1 April 2015. From that date, land and buildings transaction tax (LBTT) applies to such transactions, subject to transitional provisions. Consequently, references in this Practice Note to 'UK land' or similar expressions in the context of the application of SDLT should be read to exclude any
**Trials are provided to all LexisPSL and LexisLibrary content, excluding Practice Compliance, Practice Management and Risk and Compliance, subscription packages are tailored to your specific needs. To discuss trialling these LexisPSL services please email customer service via our online form. Free trials are only available to individuals based in the UK. We may terminate this trial at any time or decide not to give a trial, for any reason. Trial includes one question to LexisAsk during the length of the trial.
To view the latest version of this document and thousands of others like it, sign-in to LexisPSL or register for a free trial.
Existing user? Sign-in
Take a free trial
0330 161 1234
To view our latest legal guidance content,sign-in to Lexis®PSL or register for a free trial.