SDLT charges in residential property

Stamp Duty Land Tax is a tax you will need to pay if you buy property or land over a certain price in the UK. How much SDLT tax you will need to pay will vary due to a few factors such as:

  • Whether you are eligible for relief or an exemption
  • How much the property was purchased for since SDLT only applies to properties that cost more than £250,000.
  • The date at which the property was purchased.

Stamp Duty Land Tax rates as of present, up to the 31st March 2025, is as follows:

Property/Land Market priceStamp Duty Land Tax rate
Up to £250,0000%
£250,001 to £925,0005%
£925,001 to £1,500,00010%
Over £1,500,00012%

Please note that rates might also vary depending on different circumstances.

If you purchase a property within a limited company, the rates are as follows:

A flat rate of 15% of Stamp Duty Land Tax will apply to companies purchasing property/land with a value exceeding £500,000.

Where the 15% SDLT surcharge does not apply, the following rates will apply to corporate purchases of long leasehold and freehold properties where the consideration is over £40,000 and the property is not a subject to a long lease.

Property/Land Market priceHigher SDLT rate
Up to £250,0003%
£250,001 to £925,0008%
£925,001 to £1,500,00013%
Over £1,500,00015%

A return must be filed along with the purchase and is usually dealt with by your solicitor. Please note that the deadline due for filing an SDLT return and paying any tax is 2 weeks from the date of the transaction.

Here are the following penalties for the late filing of the return:

Delay in filing returnPenalty incurred
3 months or less£100
3 to 12 months£200
More than 12 monthsLiable to an additional fine of up to 100% of the SDLT due on the return

There will be no penalty for late payment. However, interest will be charged in the period between the due date and the payment date.

If you would like some assistance or advice on your Limited Company contact us today!

If you have any questions or require any advice specific to your circumstances, please contact us at PJCO. You can book a free discovery call by clicking the link below!

Please get in touch on 01273 441187 or book a discovery call with one of our expert accountants. 

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