Personal Tax
Stamp duty relief.
Stamp duty relief can reduce the Stamp Duty Land Tax on a purchase, or return part of it afterwards, but only where the conditions are met and the claim is made in time. We check which reliefs apply to your purchase or transfer before you are committed.
The return is due in 14 days, so plan ahead.
Most stamp duty problems are easiest to fix before exchange.
SDLT is charged on the deal as it is structured. Who buys, whether you still own another home, how many dwellings are in the contract and whether the buyer is your own company can change the bill significantly.
As Chartered Tax Advisors we look at the whole transaction, work alongside your solicitor, and tell you plainly which reliefs apply and what HMRC is likely to question.
What our stamp duty advice covers.
We advise on SDLT for property in England and Northern Ireland, for individuals, landlords and companies.
Higher rates and refunds
We check whether the 5% higher rates apply before you exchange, and whether you can reclaim them if you sell your old main home within three years.
Stamp duty for property investors02First-time buyer relief
We confirm whether every buyer meets the conditions, including property owned abroad or inherited. Owning a buy to let, now or in the past, rules the relief out.
Tax rates 2026/2703Portfolio and mixed-use purchases
Six or more dwellings in one transaction are charged at non-residential rates, without the higher rates. We work out the rates, and the evidence needed where property is part residential.
Property tax calculators04Company purchases
Companies pay the higher rates on dwellings, and 17% can apply above £500,000. We check the reliefs from that rate, including for property rental businesses, and the three-year conditions.
Limited company or personal05Incorporation and partnerships
We calculate SDLT at market value on a transfer to your company and test whether the partnership rules genuinely apply, including the risk from the anti-avoidance rule in section 75A.
Property incorporation06Spouses, divorce and gifts
A gift is not charged, but mortgage debt taken on counts as consideration. We check the charge on transfers between spouses or partners, and whether the divorce exemption applies.
Jointly owned property07Non-resident surcharge
We check whether the 2% surcharge applies and claim the repayment where you later meet the 183-day test, within 2 years of completion.
Moving to the UK08HMRC enquiries
If HMRC opens an enquiry into a relief, a refund or the rates used on your return, we deal with HMRC on your behalf and gather the evidence of ownership, residence and use.
HMRC enquiries09Selling as well as buying
Many purchases follow a sale. We work out any capital gains tax on the property you sell and file the 60-day return where tax is due, so both sides of the move are planned together.
Capital gains tax on a buy to letThe SDLT numbers that matter most.
Source: GOV.UK, checked 11 October 2026, and the AP Tax Advisors 2026/27 tax rates card. England and Northern Ireland only; Scotland and Wales charge LBTT and LTT.
How much is stamp duty in 2026/27, and when do the higher rates apply?
Stamp Duty Land Tax applies in England and Northern Ireland only. Scotland has Land and Buildings Transaction Tax and Wales has Land Transaction Tax, each with its own rules.
The standard residential rates are 0% up to £125,000, 2% to £250,000, 5% to £925,000, 10% to £1.5 million and 12% above. The higher rates add 5% to each band. They usually apply when the buyer will end up owning two or more residential properties worth £40,000 or more each, in the UK or abroad, and the purchase does not replace their main home. Spouses and civil partners living together count as one. Companies pay the higher rates on any dwelling of £40,000 or more, including their first.
Illustration: a £300,000 buy to let bought by an individual who owns no other home costs £5,000 in SDLT. Bought through a company, it costs £20,000. Non-UK resident buyers pay a further 2% on top. The return and tax are due within 14 days of completion.
How does first time buyer stamp duty relief work?
First time buyer stamp duty relief means no SDLT on the first £300,000 and 5% from £300,001 to £500,000. Above £500,000 there is no relief at all.
Every buyer must be a first-time buyer and intend to live in the property as their main residence. A first-time buyer has never owned a home, or a share of one, anywhere in the world, including by gift or inheritance. So if you buy a buy to let before your first home, you lose the relief for good, and if you still own the let when you buy your home, the home pays the higher rates. Buying the home first, or selling the let first, can change the result.
Can I get a stamp duty refund on a second home?
Yes, if the extra 5% was paid only because you had not yet sold your old main home. Sell or give away the old main home within three years of the new purchase and the extra higher-rate charge can be reclaimed. The claim is due within 12 months of the sale, or of the filing date of the new return if later.
There is no refund for a genuine second home or a buy to let, and a property you never lived in as your main home will not count.
What replaced multiple dwellings relief?
Multiple dwellings relief was abolished for transactions completing on or after 1 June 2024, apart from limited transitional contracts. It cannot be claimed today.
What remains is the six-dwelling rule. Six or more dwellings bought in a single transaction are treated as non-residential, at 0% up to £150,000, 2% to £250,000 and 5% above, without the higher rates. Illustration: six homes at £250,000 each bought together for £1.5 million give SDLT of £64,500, against £90,000 at the residential higher rates on six separate purchases.
Mixed-use property, such as a flat above a shop, also pays non-residential rates. Land that is part of a home's garden or grounds counts as residential, so a mixed-use claim on a house with land needs evidence.
Is there stamp duty on a transfer to a limited company?
Usually, yes. If you transfer property to a company connected with you, SDLT is charged on at least market value, even if the company pays nothing. The company pays the higher rates, and a dwelling over £500,000 can be charged at 17%. Relief from the 17% rate is available for a commercial property rental business, but the higher rates still apply and the relief can be withdrawn if the conditions fail within three years. Illustration: on a £600,000 flat, 17% is £102,000; at the higher rates it is £50,000.
Stamp duty partnership relief comes from special rules for property passing from a partnership to a connected company. The charge is broadly market value multiplied by 100% less the sum of the lower proportions, so value already owned through the partners by people connected with the company can fall out of charge. It needs a genuine partnership business, not just joint ownership. A partnership formed shortly before incorporation, or steps planned in advance, can bring in the anti-avoidance rule in section 75A, which needs no avoidance motive. SDLT is then due on full market value.
Group relief can remove SDLT on transfers within a 75% group of companies. It is refused where avoiding tax is a main purpose, and withdrawn if the buyer leaves the group within three years. Our property incorporation page covers the capital gains tax side.
Is there stamp duty when transferring property to a spouse or on divorce?
A gift with no consideration is not charged, but taking on mortgage debt counts as consideration, in proportion to the share received. Illustration: give your spouse half of a home with a £300,000 mortgage, with half the debt, and the chargeable consideration is £150,000, so SDLT at standard rates is £500. Transfers between spouses and civil partners living together are ignored for the higher rates.
Transfers under a court order on divorce or dissolution, or an agreement made in connection with it, are exempt. Unmarried partners get neither rule, so a share passed with mortgage debt can carry SDLT, and the higher rates if they own another home.
How our engagement works.
Review the transaction
We look at the purchase or transfer as it is planned: who is buying, the price, what each buyer already owns anywhere in the world, how many dwellings are involved and whether a company is buying. We ask for the draft contract, details of other properties you own and, for overseas buyers, your days in the UK.
Agree the scope and fee
We confirm in writing the scope of our advice and the fixed fee, and send our engagement letter. We complete our identity and anti-money laundering checks before giving advice. Because SDLT is due within 14 days of completion, we tell you at the outset what we need and by when.
Advise before exchange
We work out the SDLT under each option and confirm which reliefs and rates apply, including the higher rates, first-time buyer relief, the 17% rate and the non-resident surcharge. You receive written advice your solicitor can use to complete the return, with the evidence to keep in case HMRC asks.
Claim and review
After completion we check the return as filed, diary any refund deadline for selling a former main home or meeting the 183-day test, and make the claim when the conditions are met. If HMRC opens an enquiry into a relief or refund, we deal with HMRC on your behalf.
Stamp Duty Relief, answered.
Buying a home
In England and Northern Ireland, first-time buyers pay no SDLT on the first £300,000 and 5% on the part from £300,001 to £500,000. Illustration: on a £400,000 home the SDLT is £5,000. If the price is over £500,000 the relief cannot be claimed and the standard rates apply. Every buyer must be a first-time buyer who intends to live in the property as their main home.
Yes. Relief is only for buyers who have never owned a residential property anywhere in the world, so owning a buy to let, or having owned one in the past, rules it out. If you still own the let when you buy your home, you will normally pay the higher rates on the home too. With joint buyers, every buyer must be a first-time buyer.
The SDLT return must be sent to HMRC and the tax paid within 14 days of completion. Your solicitor or conveyancer usually files the return and pays on completion day. Late filing or late payment brings penalties and interest, so any relief, such as first-time buyer relief or the six-dwelling rule, needs to be agreed before completion rather than after it.
No. SDLT applies only in England and Northern Ireland. Scotland has Land and Buildings Transaction Tax and Wales has Land Transaction Tax, with their own rates, reliefs and deadlines. Property you own in one country still counts when deciding whether a purchase in another attracts a surcharge, so check each purchase on its own rules.
Second homes and refunds
Usually, yes. The higher rates rules apply to you and to anyone you are married to or in a civil partnership with, so a property your spouse owns counts even if only you are buying. If either of you would pay the higher rates, the whole purchase is charged at them, unless you are permanently separated. Replacing your main home together can still avoid the higher rates.
Yes. When deciding whether the 5% higher rates apply, HMRC counts residential property worth £40,000 or more that you own, or part own, anywhere in the world. A holiday home or flat overseas can therefore bring a purchase in England or Northern Ireland into the higher rates unless it replaces your main home. Owning a home abroad also means you are not a first-time buyer.
You must sell or give away your previous main residence within three years of buying your new home. You then have until the later of two dates to claim: a year after the sale, or a year after the deadline for the new home's SDLT return. The refund is only of the higher rate element, not the standard SDLT.
Investors, companies and non-residents
No. Multiple dwellings relief was abolished for transactions completing on or after 1 June 2024, other than limited transitional contracts. If you buy six or more dwellings in a single transaction, they are charged at non-residential rates of up to 5%, without the higher rates. Buying two to five dwellings together is usually charged at the residential rates, including the higher rates.
Yes. Companies pay the higher rates, 5% above the standard rates, on residential property costing £40,000 or more, including their first purchase. A dwelling costing more than £500,000 can instead be charged at 17%, unless a relief applies, for example because it is used in a property rental business. A company that is not UK resident also pays the 2% surcharge.
Usually, yes. SDLT is charged on at least market value where the company is connected with you, and companies pay the higher rates on dwellings. A dwelling over £500,000 can be charged at 17% unless a relief, such as for a property rental business, applies. Special rules can reduce the charge for a genuine partnership business, but HMRC looks at these closely.
For the 2% surcharge, an individual is non-UK resident if they were not in the UK for at least 183 days in the 12 months before the purchase. Nationality, visas and your residence status for income tax do not matter. If one spouse or civil partner is UK resident, both are usually treated as UK resident. Companies follow their corporation tax residence, with some exceptions for UK companies controlled from abroad.
Possibly. The 2% surcharge applies if you were in the UK for fewer than 183 days in the 12 months before completion. If all the buyers are individuals and you then spend 183 days in the UK in a continuous 365-day period, starting up to 364 days before completion and ending up to 365 days after it, you can apply for a repayment within 2 years of completion.
Related pages.
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