Several reliefs reduce or eliminate the Stamp Duty Land Tax (SDLT) payable on a property purchase. Knowing which apply to you can save thousands of pounds.
First-time buyer relief
First-time buyers in England pay no SDLT on the first portion of a qualifying purchase price. Above that threshold, a reduced rate applies up to a cap. The exact thresholds change with government policy — confirm the current figures with your solicitor or at gov.uk/stamp-duty-land-tax/first-time-buyers. Both buyers must be genuine first-time buyers to qualify (neither can have previously owned a home anywhere in the world).
Multiple dwellings relief
If you buy more than one dwelling in a single transaction, you may be able to calculate SDLT on the average price rather than the total. This can significantly reduce the bill on portfolio purchases or when buying a property with an annexe. HMRC reviews this relief periodically — take specialist advice.
Charity relief and other exemptions
Transfers between spouses after divorce, some compulsory purchases, and certain transactions involving charities are exempt or relieved. Your solicitor will identify applicable reliefs as part of the conveyancing process.
SDLT rules are complex and change frequently. Always confirm current reliefs and thresholds with your solicitor. This is general information only.