Land and Buildings Transaction Tax (LBTT)

On the transfer of property in Scotland, the Land and Buildings Transaction Tax is:

Residential  
Value up to £145,000 0%
Over £145,000 - £250,000 2%
Over £250,000 - £325,000 5%
Over £325,000 - £750,000 10%
Over £750,000 12%
Non-residential  
Value up to £150,000 0%
Over £150,000 - £350,000 3%
Over £350,000 4.5%

The rates apply to the portion of the total value which falls within each band. Additional LBTT of 3% may apply to the purchase of additional residential properties.

The Scottish government is planning to introduce a new relief for first-time homebuyers for purchases up to £175,000, subject to consultation. Where a property costs more than this amount, first-time buyers will benefit from relief on the portion of the price below the threshold.

 

Welsh Land Transaction Tax (LTT)

From 1 April 2018, Wales will roll out its own stamp duty equivalent, the Land Transaction Tax (LTT), which preserves the essential structure of SDLT but with some key differences, including a higher starting threshold, together with higher rates of duty for some residential properties with a greater value. The existing first-time buyer exemption will also be removed.

The proposed new LTT rates are:

Residential (£) Rate (%)
Up to 180,000 0
180,000 - 250,000 3.5
250,000 - 400,000 5
400,000 - 750,000 7.5
750,000 - 1,500,000 10
Over 1,500,000 12

Additional LTT of 3% may apply to the purchase of additional residential properties.

Non-residential (£) Rate (%)
Up to 150,000 0
150,000 - 250,000 1
250,000 - 1,000,000 5
Over 1,000,000 6