Please note new rates were introduced for the periods 17/03/05 - 22/03/06 and 23/06/06 - to present.
| Rate | Land in disadvantaged areas - Residential | Land in disadvantaged areas - Non-residential | All other land in the UK - Residential | All other land in the UK - Non-residential |
|---|---|---|---|---|
| Zero | £0 - £150,000 | All | £0 - £60,000 | £0 - £150,000 |
| 1% | Over £150,000 - £250,000 | Over £60,000 - £250,000 | Over £150,000 - £250,000 | |
| 3% | Over £250,000 - £500,000 | Over £250,000 - £500,000 | Over £250,000 - £500,000 | |
| 4% | Over £500,000 | Over £500,000 | Over £500,000 |
Property that is not land, shares or interests in partnerships will no longer be subject to stamp duty.
| Rate | Net present value of rent - Residential | Net present value of rent - Non-residential |
|---|---|---|
| Zero | £0 - £60,000 | £0 - £150,000 |
| 1% | Over £60,000 | Over £150,000 |
Please note that when calculating duty payable on the 'NPV' (Net Present Value) of leases, you must reduce your 'NPV' calculation by the following before applying the 1% rate.
Residential - £60,000
Non-Residential - £150,000
Duty on premium is the same as for transfers of land (except special rules apply for premium where rent exceeds £600 annually).
The rate of stamp duty / stamp duty reserve tax on the transfer of shares and securities is unchanged at 0.5% for 2003-04.
From midnight on Budget Day stamp duty on non-residential land and buildings is removed altogether in around 2000 disadvantaged areas. People investing in residential land and buildings in disadvantaged areas will continue to benefit from an exemption from stamp duty where the consideration does not exceed £150,000. The Inland Revenue is today publishing a Statement of Practice on the definition of residential property for the purposes of this relief.
Currently, stamp duty on leases (often called 'lease duty') is calculated by reference to the average annual rent. From 1 December 2003 (the implementation of stamp duty land tax, the charge will be based on the net present value (NPV) of all the rental payments due over the term of the lease.
See PN05 (Modernising the Taxation of Property) (Opens new window) for further details of changes to stamp duty on land.
