Please note: this calculator is for general interest only and doesn’t constitute advice. It may not be complete or up to date and relates only to certain types of residential property in England or Northern Ireland. Always take tailored advice from your property lawyers, accountants, or other financial advisers on tax issues.

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What is stamp duty?

Stamp duty land tax (SDLT) is a progressive tax paid when purchasing a freehold, leasehold or shared ownership residential property over £250,000 in England and Northern Ireland (separate taxes apply in Wales and Scotland).

The rates, which are payable only on the portion of a property price that falls within each band, were updated in the mini budget on 23 September 2022 (valid until 31 March 2025) and are set out below.

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How much is stamp duty?

Brackets                                                                                                                     Rate

Up to £250,000                                                                                                         0% 

The next £675,000 (the portion from £250,001 to £925,000)                       5%

The next £575,000 (the portion from £925,001 to £1.5 million)                   10%

The remaining amount (the portion above £1.5 million)                                 12%

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How is stamp duty calculated?

Here is an example of how stamp duty is calculated.

Let’s say, the property purchase price is £850,000. In this case, no stamp duty tax applies to the first £250,000 of this amount.

The amount above the initial £250,000 has a stamp duty tax of 5%.

So, in total this equates to an overall rate of 3.5% of the sale price or £30,000.

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Who pays stamp duty?

Stamp duty tax applies to residential house purchases over a threshold of £250,000.

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How do I pay stamp duty?

In most cases, your solicitor will take care of the paperwork on your behalf. There is an option to do this yourself by following the steps on the UK government website.

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When do I pay stamp duty?

Stamp duty is payable to the HMRC 14 days from the date of completion, or you may risk a fine. Your solicitor or legal adviser should take care of this for you within the deadline.

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Do first-time buyers pay stamp duty?

Yes, first-time property buyers are subject to stamp duty tax but the rates differ. First-time buyers don’t pay any stamp duty on the first £425,000 and the value of the property on which they can claim this relief is up to £625,000.