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LBTT: stamp duty in Scotland
Use our calculator to work out how much LBTT - Scottish stamp duty - you'll need to pay when buying a home, second property or buy-to-let investment.
LBTT calculator
Use our calculator to find out how much Land and Buildings Transaction Tax (LBTT) you'll pay when buying a home in Scotland.
What is Land and Buildings Transaction Tax (LBTT)?
Land and Buildings Transaction Tax (LBTT) is Scotland's version of stamp duty. It is payable when buying a property in Scotland.
It's a tiered tax, meaning you pay different rates on different portions of the property price.
LBTT for first-time buyers
The tax-free limit for properties bought by first-time buyers is £175,000, meaning that most first-time buyers will pay no LBTT at all.
If your first home is more expensive than this threshold, you'll still benefit from the relief on the first £175,000 of the price.
The illustration below shows the LBTT rates for first-time buyers from April 2021.
Table: first-time buyer LBTT rates
| Portion of property price | Rate |
|---|---|
| £0-£175,000 | 0% |
| £175,001-£250,000 | 2% |
| £250,001-£325,000 | 5% |
| £325,001-£750,000 | 10% |
| More than £750,000 | 12% |
LBTT rates for home movers (standard rates)
If you currently own a property which you're selling in order to move to a new one (or have ever owned a property before), assuming the property you're buying will be the only one you own at the time, you'll pay the standard LBTT rates.
LBTT is charged if the property costs over £145,000. The tax is tiered, which means you'll pay different percentage rates on different 'portions' of the property price:
Table: standard LBTT rates
| Portion of property price | Rate |
|---|---|
| £0-£145,000 | 0% |
| £145,001-£250,000 | 2% |
| £250,001-£325,000 | 5% |
| £325,001-£750,000 | 10% |
| More than £750,000 | 12% |
LBTT on buy-to-let and second/holiday homes
When you purchase a second home or buy-to-let property in Scotland, you have to pay an 'additional dwelling supplement'.
This means that you'll be charged an extra 6% on top of the standard LBTT rates.
Table: buy-to-let LBTT rates
| Portion of property price | Rate |
|---|---|
| Properties worth less than £40,000 | 0% |
| £0-£145,000 | 6% |
| £145,001-£250,000 | 8% |
| £250,001-£325,000 | 11% |
| £325,001-£750,000 | 16% |
| More than £750,000 | 18% |
- Find out more: buy-to-let advice guides
Do I need to pay LBTT?
LBTT is usually payable whenever you make a 'land transaction' - i.e. whenever you buy property, or interest in property.
However, there are some situations when no LBTT is payable, including:
- transactions where there is no consideration (ie no payment was made)
- residential leases
- property transferred in relation to a will or intestacy
- property transferred after divorce, separation or the end of a civil partnership
How and when to pay LBTT
To pay your LBTT, you'll need to make an LBTT return to Revenue Scotland.
The return must be lodged within 30 days of the sale being completed. You need to pay the amount due at the same time you file the return.
If you don't pay on time, you may face a penalty, and the purchase will not be registered until payment has been made.
Returns can be filed online.
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