This stamp duty calculator has been updated to account for the 2nd September 2008 stamp duty holiday for home transactions between £ 125,000 and £175,000.

 

 

Stamp duty is essentially a charge on certain documents, not transactions. However, an equivalent tax is charged on electronic share transfers under the CREST system. From 1 December 2003, stamp duty land tax (SDLT) replaced stamp duty for land transactions, whether or not completion takes place.

 

The most significant duties are based on the amount of consideration.

• 0.5% duty on share transfers.
• For land transactions and lease premiums, rates, charged on the whole consideration, are:

Up to £175,000*	nil
£175,001 to £250,000	1%
£250,001 to £500,000	3%
More than £500,000	4%

*The stamp duty threshold for non-residential purchases of land increased to £150,000 on 1 December 2003. Non-residential property transfers, and residential property transfers up to £150,000, in disadvantaged areas are exempt from stamp duty.
After 2nd September, 2009, the temporary limit of £175,000 will reduce back down to £125,000.

A special sliding scale applies to duty on rents. SDLT is charged at 1% (upfront payment) on the net present value of rent over the lease term where that exceeds £120,000 (residential) or £150,000 (commercial). This stamp duty calculator has been updated to account for the 2005 budget changes:

Calculate how much stamp duty you will pay (property purchase in non-disadvantaged area):

Value of property £ Stamp duty £

Outside the new stamp duty 'holiday' period (3rd Sep 2008 to 2nd Sep 2009), the threshold is £150,000 rather than £120,000 for people purchasing in a few pockets of 'disadvantaged areas'. You can use the Inland Revenue's postcode checker at www.hmrc.gov.uk/so/dar/dar-search.htm

 

For those interested in how to significantly reduce both CGT and income tax on property investments, we recommend the publication 'How to Avoid Property Tax'. For more information, click here.

 

Now that you have an idea of the stamp duty you might have to pay when you purchase your property, would you like an instant conveyancing quote? Click here for our online conveyancing calculator.