Commercial Stamp Duty Calculator 2026
Calculate Stamp Duty Land Tax (SDLT) on commercial property purchases and leases in England and Northern Ireland. Commercial properties benefit from lower SDLT rates compared to residential property.
Total Stamp Duty
£14,500
Effective rate: 2.90%
| Band | Rate | Taxable Amount | Tax |
|---|---|---|---|
| £0 - £150,000 | 0.0% | £150,000 | £0 |
| £150,000 - £250,000 | 2.0% | £100,000 | £2,000 |
| £250,000 - Above | 5.0% | £250,000 | £12,500 |
Residential comparison: If this were a residential property, you would pay £15,000 in Stamp Duty (more than commercial rates).
Disclaimer: This tool does not constitute financial advice. We do not recommend taking actions based solely on these results. The calculator makes assumptions and results may be inaccurate due to changes in government policy, interest rates, or personal circumstances. You use this information at your own risk. We can't guarantee to be perfect, so do note you use the information at your own risk and we can't accept liability if things go wrong. For official guidance, visit Gov UK.
Commercial SDLT Rates 2026
Purchase or Lease Premium Rates
| Property Price | SDLT Rate |
|---|---|
| Up to £150,000 | 0% |
| £150,001 to £250,000 | 2% |
| Over £250,000 | 5% |
New Lease - Net Present Value (NPV) Rates
| Net Present Value | SDLT Rate |
|---|---|
| Up to £150,000 | 0% |
| £150,001 to £5,000,000 | 1% |
| Over £5,000,000 | 2% |
NPV is calculated by discounting future rent payments at 3.5% per year. For leases, SDLT is charged on both the NPV of rent and any premium paid.
When Do Commercial Rates Apply?
Commercial (non-residential) SDLT rates apply to the following property types. Use our stamp duty calculator for residential comparisons.
- Commercial buildings: Shops, offices, warehouses, factories, hotels, and other business premises
- Land without buildings: Vacant land, development sites, and plots for commercial use
- Agricultural land: Farmland, agricultural buildings, and farming businesses
- Forests and woodland: Commercial forestry and timber operations
- Bulk residential purchases: Purchases of 6 or more residential dwellings in a single transaction are treated as non-residential for SDLT purposes
- Mixed-use properties: Properties that are part residential and part commercial (e.g., a shop with a flat above) are treated as non-residential and benefit from commercial SDLT rates. See our commercial property guide for detailed rules.
Pro tip: If you're buying a mixed-use property (e.g., a shop with a flat), you'll pay commercial SDLT rates, which are often lower than residential rates for properties over £250,000.
Worked Examples
Example 1: £500,000 Office Purchase
Effective rate: 2.9%
Example 2: £1,000,000 Warehouse Purchase
Effective rate: 3.95%
Example 3: 10-Year Lease (£300k Premium, £50k Annual Rent)
Premium SDLT:
Rent SDLT:
Mixed-Use Properties
A mixed-use property contains both residential and commercial elements. Common examples include:
- A shop with a flat above
- A pub with living accommodation
- A farm with a farmhouse
- An office building with a residential caretaker's flat
Even if the residential element is substantial, the entire property is treated as commercial for SDLT purposes if any part is used for business. This often results in a lower SDLT bill compared to residential rates. Check our mixed-use guide for examples.
Example: A £400,000 mixed-use property (shop with flat) would pay £9,500 SDLT at commercial rates, compared to £10,000 at residential standard rates. The real saving comes if you already own property: residential with 5% surcharge would be £30,000, while commercial remains £9,500, a saving of £20,500.
Commercial vs Residential Rates Comparison
| Property Price | Commercial SDLT | Residential SDLT | Saving |
|---|---|---|---|
| £200,000 | £1,000 | £1,500 | £500 |
| £300,000 | £4,500 | £5,000 | £500 |
| £500,000 | £14,500 | £15,000 | £500 |
| £1,000,000 | £39,500 | £43,750 | £4,250 |
| £2,000,000 | £89,500 | £153,750 | £64,250 |
Note: Residential rates shown are standard rates without any higher rate supplements or first-time buyer relief. Commercial rates become increasingly advantageous for higher-value properties.
Ready to see your numbers?
Use our free calculator to see exactly how much stamp duty you need to budget for.
Work out your stamp duty bill
Emma Richardson, MRICS
Chartered Surveyor & Property Tax Specialist
Emma Richardson is a RICS-qualified Chartered Surveyor with over 12 years of experience in UK property taxation. She founded Stamp Duty Calculator to help buyers understand the complex world of property transaction taxes.
Related Resources
Business Property Hub
Complete guide to Stamp Duty on business and commercial property purchases
Residential SDLT Calculator
Calculate Stamp Duty for residential property purchases in England
Full Cost of Buying
Calculate all costs including SDLT, legal fees, and surveys
Mixed-Use Property Guide
Everything you need to know about buying mixed-use properties