Stamp Duty Land Tax (SDLT)
UK tax glossary · Last reviewed: April 2026
Stamp Duty Land Tax (SDLT) applies to property purchases in England and Northern Ireland (Scotland uses Land and Buildings Transaction Tax; Wales uses Land Transaction Tax). Rates are tiered: 0% up to £125,000, 2% from £125,001–£250,000, 5% from £250,001–£925,000, 10% from £925,001–£1.5 million, 12% above.
First-time buyers benefit from relief up to £425,000 (0% on the first £425,000, 5% on the next £100,000 to £500,000), but only where the property costs £500,000 or less. Above that, no first-time buyer relief is available.
A 3% surcharge applies on second homes and buy-to-let properties above £40,000. Non-UK residents purchasing residential property pay an additional 2% surcharge. SDLT must be filed and paid within 14 days of completion.
Worked example
First-time buyer, property £350,000. First-time buyer relief: £0 on first £425,000 (so entire £350,000 is at 0%). SDLT: £0. Standard buyer same property: £0 on first £125,000 + (£125,000 × 2%) + (£100,000 × 5%) = £2,500 + £5,000 = £7,500.
Common questions
When must SDLT be paid?
SDLT must be filed and paid within 14 days of the effective date of the transaction (usually completion). Late payment attracts interest and a fixed penalty, so conveyancers typically handle payment on the day of completion.
Do I pay SDLT if I transfer property to my spouse?
Usually no SDLT where no money changes hands. However, if you transfer mortgaged property and the receiving spouse takes on the mortgage debt, SDLT may apply on the debt assumed. Take conveyancing advice.
Related resources
TaxHelper provides general information based on published HMRC rates and guidance. It is not regulated financial or tax advice. For decisions involving significant sums, complex circumstances, or if you are unsure, speak to a qualified accountant or HMRC directly.