Stamp Duty Questions
Find clear answers to your stamp duty questions from our expert guides.
Most Asked Questions
How is stamp duty calculated?
Stamp duty uses a tiered system where different portions of the price are taxed at different rates.
When do I pay stamp duty?
Stamp duty must be paid within 14 days of completion. Your solicitor typically handles the payment.
Who pays stamp duty - buyer or seller?
The buyer pays stamp duty, not the seller. When you sell a property, you don't pay stamp duty.
Am I a first-time buyer for stamp duty?
You're a first-time buyer if you've never owned property anywhere in the world.
Do I pay the second home surcharge?
You pay the 5% surcharge if you'll own more than one property after completion.
Can I claim a stamp duty refund?
You may be able to claim back the 5% surcharge if you sell your previous home within 36 months.
Payment & Process
When do I pay stamp duty?
The 14-day deadline, payment timeline, and what your solicitor handles.
Who pays stamp duty: buyer or seller?
The buyer always pays. Sellers have no stamp duty liability.
Can stamp duty be added to a mortgage?
Most lenders allow it, but it increases your total borrowing and interest costs.
What happens if I don't pay stamp duty?
HMRC penalties start at £100 and escalate to 100% of the tax owed.
Can parents pay my stamp duty?
Yes. Gifted money doesn't affect FTB relief, but joint ownership triggers surcharges.
How is stamp duty calculated?
A tiered system taxes different portions of the price at different rates, not a flat percentage.
Eligibility & Status
Am I a first-time buyer for stamp duty?
Never owned property anywhere in the world? You may save up to £6,250.
Do I pay second home stamp duty?
The 5% surcharge applies when you own two or more properties after completion.
Does inheritance affect stamp duty?
Inheriting property is SDLT-free, but it may trigger the surcharge on future purchases.
Do married couples pay more stamp duty?
Spouses are treated as a unit; one partner's property affects both.
Can I claim a stamp duty refund?
You may reclaim the 5% surcharge if you sell your old home within 36 months.
Comparisons & Savings
Is stamp duty the same in Scotland and England?
Scotland uses LBTT with different rates, bands, and an 8% ADS surcharge.
Is it cheaper buying through a company?
Companies face a 17% flat rate over £500k, but benefit from corporation tax savings.
Is commercial stamp duty cheaper?
Commercial rates top out at 5% vs 12% residential, with no surcharge.
Does shared ownership reduce stamp duty?
Two SDLT options: pay on your share only or the full market value upfront.
Future & Planning
Will stamp duty go down?
No cuts are expected in 2026. HMRC relies on £15bn+ annual SDLT revenue.
Should I wait for stamp duty changes?
House price growth of 4.7% could cost more than any potential stamp duty saving.
How long does it take to save for stamp duty?
At £500/month, the average £8,400 stamp duty bill takes about 17 months to save.