Stamp Duty Land Tax is a mandatory payment for those purchasing property in the UK over a certain value - even if it's for buy-to-let purposes.
While there was a temporary Stamp Duty holiday in the UK, normal rates have now resumed. Homebuyers and investors will now need to pay tax on any property purchases over the £125,000 Stamp Duty threshold.
For those investing in buy-to-let property, there is an additional property surcharge of 3% that needs to be considered, which is added on top of the original rates.
Likewise, overseas buyers also need to factor the extra 2% surcharge for non-resident investors, equalling a 5% increase on normal rates.
Stamp Duty Rates
Up to £125,000: 0%
The next £125,000 (between £125,001 - £250,000): 2%
The next £675,000 (between £250,001 - £925,000): 5%
The next £575,000 (between £925,001 - £1,500,000): 10%
The remaining amount (anything above £1,500,000): 12%