Stamp Duty Rates
Stamp Duty pay rates are set as a percentage of the purchase price of the property. Stamp Duty is levied at various levels from 0% to 7% based around the purchase price.
(from 21st March 2012 some charges can be a high as 15% of the purchase price)
To establish your own potential stamp duty land tax bill please use our stamp duty tables or stamp duty calculator.
If your SDLT bill calculates at more than £7,650 you should consider a
stamp duty land tax saving scheme.
History of Stamp Duty
Stamp duty was first introduced in the reign of William and Mary in the latest 17th Century to help fund the war in France. This followed a similar scheme in the Netherlands.
Stamp Duty was so successful that it continues today through a variety of legislation. In the following two centuries, stamp duty covered items are eclectic as hats, gloves, medicines, advertisements, newspapers, and even hair powder. Stamp Duty was even a major factor in the outbreak of the American War of Independence.
The Board of Stamps originally collected stamp duty until the Inland Revenue was created in 1849. Now that the Inland revenue has merged with Customs and Excise, Stamp Duty is collected the new body, HM Revenue and Customs.
Stamp Duty Land Tax
Stamp Duty Land Tax was introduced in the Finance Act of 2003 to cover ‘land transactions’. The tax is payable on purchase of a property and funds are normally provided the the coveyancing solicitor who pays the tax on the purchasers behalf when submitting the stamp duty land tax forms (normally SDLT1) as part of the land registration process.
Common Stamp Duty forms
SDLT1 – The main form that must be completed included in every land transaction return. Normally signed by the purchaser.
SDLT2 – Used if more than two sellers or more than two purchasers are involved in the transaction.
SDLT3 – Used to supply additional detail.
SDLT4 – For company purchasers or with commercial property.
SDLT5 – Evidence of notification to HMRC.
SDLT6 – A booklet giving guidence on completing stamp duty land tax forms.
SDLT8 & 8A – Sent by HM Revenue & Customs in the event of a query.
SDLT12 & 12A – Sent by H M revnue & customs is a stamp duty land tax underpayment is due.
SDLT14(8) – Sent HM Revenue & Customs to tell the purchaser that no further stamp duty land tax reminders will be issued.
PRIVACY – It is our policy that personal information, such as your name, personal postal and email address, or personal telephone number is private and confidential. Because your privacy is important to us, we maintain privacy policies to protect your personal information.