Calculate commercial stamp duty (SDLT)
Enter a freehold commercial purchase price to see the SDLT due and the effective rate.
- SDLT due
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- Effective rate
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SDLT due: —, Effective rate: —
What is commercial stamp duty?
Stamp Duty Land Tax (SDLT) is a tax charged on the purchase of freehold non-residential (commercial) property in England and Northern Ireland, such as offices, shops, warehouses and land. It's paid by the buyer and due within 14 days of completion.
How is commercial SDLT calculated?
SDLT on commercial property is charged progressively across bands: nothing on the first £150,000, 2% on the portion from £150,000 to £250,000, and 5% on anything above £250,000. Only the slice of the price that falls within each band is taxed at that band's rate.
Commercial SDLT rates and thresholds
The current non-residential freehold rates are: 0% up to £150,000; 2% from £150,000 to £250,000; and 5% above £250,000. These rates apply to standalone commercial purchases — mixed-use and linked transactions can be taxed differently.
Worked example
A £300,000 freehold commercial purchase pays 2% on the £100,000 between £150,000 and £250,000 (£2,000), plus 5% on the remaining £50,000 above £250,000 (£2,500) — a total of £4,500, an effective rate of 1.5%.
When is commercial SDLT due?
SDLT must be paid, and a return filed with HMRC, within 14 days of the transaction completing. Late filing or payment can attract penalties and interest.
People also ask
- No. Non-residential SDLT has its own bands and rates, which are simpler and generally lower than the residential bands for equivalent prices.
- The buyer is responsible for paying SDLT and for filing the SDLT return with HMRC, typically handled by their solicitor as part of the transaction.
- No. SDLT is progressive — each band of the price is taxed at its own rate, so only the portion above a threshold is taxed at the higher rate for that band.
- This calculator covers freehold non-residential purchases only. Leasehold rent, mixed-use and linked transactions can involve additional SDLT rules not reflected here.
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