What is Stamp Duty Land Tax? UK Definition 2026/27
Quick Answer
Tax paid when buying property or land in England and Northern Ireland.
Definition of Stamp Duty Land Tax
Stamp Duty Land Tax (SDLT) is charged on property purchases in England and Northern Ireland. Rates range from 0% to 12% depending on property value and type. First-time buyers get relief, while additional property purchases attract a 5% surcharge. Scotland and Wales have their own versions.
Stamp Duty Land Tax — Key Facts for 2026/27
| 0% threshold | £125,000 |
| FTB threshold | £300,000 |
| Additional rate surcharge | 5% |
| Top rate | 12% (+ 5% surcharge) |
How Stamp Duty Land Tax Works — Example
- 1First £125,000: 0% = £0
- 2£125,001 - £250,000: 2% = £2,500
- 3£250,001 - £400,000: 5% = £7,500
- 4Total SDLT: £10,000
- 5If second home: + £20,000 (5%)
How Stamp Duty Land Tax Affects Your Tax
SDLT is a significant cost when buying property. First-time buyer relief, timing around threshold changes, and the additional property surcharge all affect planning. The 14-day payment deadline is strictly enforced.
Official HMRC Guidance on Stamp Duty Land Tax
For official guidance, refer to HMRC's documentation. Tax rules can change, so always verify current rates and thresholds on gov.uk.
HMRC: Stamp Duty Land TaxFrequently Asked Questions about Stamp Duty Land Tax
Accuracy Note
This information is for guidance only and is based on 2026/27 tax year rates. Tax rules are complex and your circumstances may differ. For personal advice, consult a qualified accountant or tax adviser.