Stamp
duty is payable at 0.5% on transfers of shares and securities.
No charge
unless the duty (including SDLT) exceeds £5
Stamp Duty Land
Tax (SDLT)
Residential Land
There will be relief from SDLT
on purchases of residential properties that cost up to £250,000, where the
transaction is completed on or after 25 March 2010 and before 25 March 2012. This
relief can only be claimed by first time buyers who intend to occupy the property
as their main home. To help fund this temporary tax relief, an additional rate
of SDLT will be introduced at 5% on residential properties costing £1 million
or more, where the transaction is completed after 5 April 2011.
On the
transfer of residential land, SDLT is payable at the following rates:
Value
up to £125,000*
0%
Value
£125,001 - £250,000
1%
Value
£250,001 - £500,000
3%
Value
over £500,000
4%
* £150,000
for property in disadvantaged areas. £250,000 for first time buyers where
completion is on or after 25/03/2010 and before 24/03/2012
Non Residential
Land
On the transfer of non-residential land, SDLT is payable at
the following rates:
Value
up to £150,000
0%
Value
£150,001 - £250,000
1%
Value
£250,001 - £500,000
3%
Value
over £500,000
4%
Disadvantaged
areas relief
Disadvantaged Areas Relief currently only applies to the
residential element of ‘mixed use’ (business and residential) property transactions
- for example a shop with a flat above bought together. Use is apportioned on
a ‘fair and reasonable’ basis and if the amount apportioned to the residential
element does not exceed £150,000, a separate £150,000 threshold applies
to the non-residential element.
Zero-carbon homes
From
1 October 2007 - 30 September 2012 New homes - purchase price up to £500,000
- exempt from SDLT Purchase price more than £500,000 - SDLT liability
reduced by £15,000
New leases (lease duty)
The
SDLT charge on leases is calculated as 1% of the “net present value” (NPV) of
the rent due in respect of the lease, less an exemption. The NPV of a lease is
calculated by taking the total rent payable over the life of the lease and discounting
it by 3.5% a year.
Non-residential
properties up to £150,000
0%
over £150,000
1%
Residential
properties up to £125,000 *
0%
over £125,000
*
1%
* Note that between
3 September 2008 and 31 December 2009 the starting threshold for SDLT for most
transactions was £175,000. The threshold was reduced back to £125,000
from 1 January 2010.