How this calculator works
Stamp Duty Land Tax (SDLT) is charged on residential property purchases in England and Northern Ireland — Scotland uses its own Land and Buildings Transaction Tax (LBTT) and Wales uses its own Land Transaction Tax (LTT), each with different bands and rates, and both are out of scope for this calculator. A common misunderstanding is that SDLT is a flat rate on the whole purchase price. It isn't — it's a slice (marginal-band) tax, just like income tax: each portion of the price that falls within a band is taxed at that band's rate, and only the portion above each threshold moves into the next band.
The standard residential bands are:
£0–£125,000: 0% • £125,001–£250,000: 2% • £250,001–£925,000: 5% • £925,001–£1.5m: 10% • above £1.5m: 12%
First-time buyer relief replaces these bands for qualifying buyers, provided the price is £500,000 or less: 0% up to £300,000, then 5% on the portion between £300,000 and £500,000. Above £500,000, first-time buyers lose the relief entirely and pay the standard bands on the full price. Two further surcharges can stack on top of whichever base bands apply: an additional-property surcharge of 5% on every band (kicking in once the price reaches £40,000) for second homes and buy-to-let purchases, and anon-UK-resident surcharge of 2% with no minimum threshold, which can apply on top of standard, first-time-buyer, or additional-property rates.
Worked example
HMRC's own published worked example uses a £295,000 standard residential purchase (not a first-time buyer, not an additional property). Run through the bands: the first £125,000 is tax-free, the next £125,000 (up to £250,000) is taxed at 2% (£2,500), and the remaining £45,000 (from £250,000 to £295,000) is taxed at 5% (£2,250). That totals £4,750 — an effective rate of about 1.6% of the purchase price, even though the top slice was taxed at 5%. Change the same purchase to a first-time buyer and the SDLT drops to £0, since the full £295,000 falls under the £300,000 first-time-buyer relief threshold. Change it instead to an additional property (second home or buy-to-let) and the bill rises sharply to£19,500, because the 5% surcharge is added to every band's rate.
What affects your result
- Purchase price — since SDLT is a slice tax, moving just above a band threshold only increases the tax on the portion above it, not the whole price.
- First-time buyer status — all buyers on the purchase must qualify, and the relief disappears entirely (not just tapers) once the price exceeds £500,000.
- Additional-property surcharge — a flat 5 percentage points added to every band once the price reaches £40,000, regardless of whether you're replacing your main residence (in which case a refund may be available if you sell your previous main home within a set period — check current HMRC guidance).
- Non-UK-resident status — based on days spent in the UK around the transaction, not nationality; it can combine with either standard, first-time-buyer, or additional-property rates.
- Where the property is — this calculator applies only to England and Northern Ireland. Scottish and Welsh property transactions are taxed under entirely separate regimes with different bands.
A note on accuracy
SDLT bands and surcharges are set by HMRC and change periodically, most recently around thresholds affecting first-time buyers and additional properties — always check the current position before relying on any estimate for a real transaction. This calculator's rates were last verified directly against live HMRC guidance on the date shown above the calculator. For the authoritative, up-to-date bands, see HMRC's own page:Stamp Duty Land Tax: residential property rates. If you're buying in Scotland, check Revenue Scotland for current LBTT rates; in Wales, check the Welsh Government / Welsh Revenue Authority for current LTT rates.