JLL Residential

Stamp Duty Calculator

UK Property and Buy-To-Let Stamp Duty Tax Calculator 2017    

Stamp Duty Land Tax (SDLT) calculations below reflect the current rules in England, Wales and Northern Ireland. The JLL Agency team are on hand to guide you through every step of the buying process.

If you are not a first-time buyer you are required to pay stamp duty if you buy a property costing more than £125,000.

Anyone purchasing an additional home (valued above £40,000), such as a buy-to-let property or a second home, an additional stamp duty charge of 3% of the full purchase price will be due.

If you are a first-time buyer and the property will be your main residence you are, temporarily, not required to pay stamp duty on the first £300,000 for any property bought for £500,000 or less.

Use our calculator to work out how much stamp duty is payable.

STAMP DUTY: TAXable BANDS AND RATES



 Bands

Standard
Rate
Buy-to-let
 or Second Home Rate
 £0 - £125,000 0%  3% 
 £125,000 - £250,000  2% 5% 
 £250,000 - £925,000  5% 8% 
 £925,000 - £1,500,000  10% 13% 
 £1,500,000 +  12% 15% 


How does the calculator work?

As the property purchase price increases the rate of stamp duty payable increases based on certain taxable bands.  The percentages payable rise as each price threshold is reached. 

EXAMPLE

If you are not a first-time buyer and you bought a property for £850,000 you would pay no stamp duty on the first £125,000, then 2% on £125,000 to £250,000 and 5% on the portion from £250,000 to £850,000.

£0 - £125,000 0%      
£125,000 - £250,000 2% = £2,500    
£250,000 - £850,000  5% = £30,000    
TOTAL   = £32,500   (stamp duty payable - effective rate 3.8%) 

 

From April 2016 a 3% surcharge has been applied to additional property purchases on top of the normal stamp duty rate. This means second homes (even if they are not buy-to-let purchases) now attract higher levels of stamp duty. By ticking the second home or buy-to-let box the 3% surcharge will be applied to the entire purchase price.

EXAMPLE
In the above example, if the purchase was a second home an additional 3% would be payable on £850,000 x 3% = £25,500.

TOTAL = £32,500 + £25,500  = £58,000 (stamp duty payable - effective rate 6.8%) 

 

EXAMPLE

If you were a first-time buyer and bought a property for £400,000 you would pay no stamp duty on the first £300,000 but be charged 5% on the £100,000 above £300,000.

£0 - £125,000 0%      
£125,000 - £250,000 0%      
£250,000 - £400,000  5% on £100,000 = £5,000    
TOTAL   = ££5,000    

 

how will stamp duty affect you?

Moving Home

If you already own more than one property, and you sell your main residence, you won’t have to pay the 3% stamp duty surcharge if you buy a new main residence within 3 years. The Government has granted this grace period of 36 months to reflect "moving in difficult circumstances".

If you decided to move house but not to sell your existing home at the same time, the 3% surcharge will apply. This is because even though you are replacing your main residence, you will end up owning 2 properties. If your previous main residence is then subsequently sold within 36 months a refund of the surcharge can be applied for.

Parents helping your children

As parents, if you are already homeowners, you could face the stamp duty surcharge if you wish to help your children buy a first home. In these circumstances, if you take out a joint mortgage with your children, you will appear on the deeds meaning that legally you would now own a second property.

However, if you simply help with the deposit or act as a guarantor then the surcharge should not apply. We would recommend you seek independent advice from tax advisors before making any decisions.

Limited companies

The stamp duty surcharge will generally apply to an additional property being purchased by a limited company. This applies to both existing companies and new companies formed for the purpose of purchasing property.


product Disclaimer

© 2017 Jones Lang LaSalle IP, Inc. All rights reserved. All information contained herein is from sources deemed reliable; however, no representation or warranty is made to the accuracy thereof.