You can calculate stamp duty holiday savings by comparing costs before and after the 31st March deadline on our stamp duty holiday page.
Stamp duty holiday
A stamp duty holiday has now been implemented and will be applied to all residential purchases until 31st March 2021. The initial threshold for normal purchases has risen from £125,000 to £500,000.
What are the new stamp duty rates?
The new freehold residential stamp duty rates in England and Northern Ireland are shown in the table below:
Stamp duty refunds
A stamp duty refund may be available if you are moving house. The refund may be claimed online or by post and can be submitted following the sale of your previous home.
Buy to let & second homes
Stamp duty rates have increased for anyone purchasing an additional property. Additional property types include buy to let investments and second homes. From April 2016 a 3% surcharge has been applied on top of the normal SDLT rate.
Replacing a main residence
The higher rates of stamp duty should not apply when moving home. Normal rates of stamp duty will apply for anyone replacing a main residence even if they own two properties in the short term.
First time buyers
The initial stamp duty threshold for first time buyers has risen to £500k following the introduction of a stamp duty holiday. This means the majority of first time buyers will no longer pay any stamp duty.
Stamp duty for non-UK residents.
An increase to stamp duty for non-UK residents was announced in the 2020 Budget.
What is stamp duty?
Stamp Duty Land Tax (SDLT) is a tax levied on the purchase of property in England and Northern Ireland.
When do you pay stamp duty?
Stamp duty now needs to be paid within 14 days after completing on a property purchase. The 14 day period for submitting a stamp duty return has been effective from March 2019 and has been reduced from 30 days.
Stamp duty changes
Major changes to stamp duty were implemented in December 2014. The old stamp duty system was considered to be a “slab tax” whereby rates were incremented at each SDLT threshold and applied to the whole property purchase price.
Stamp duty revenue
Stamp duty revenue has generally been on an upward trend over the last 40 years. Following the extensive stamp duty reform in 2014 stamp duty receipts continued to rise.