Stamp Duty on shared ownership property

Stamp Duty Land Tax (SDLT) is payable whether you buy a freehold property, a new or existing leasehold property or a shared ownership property. SDLT has been replaced in Scotland by the Land and Buildings Transaction Tax and in Wales by the Land Transaction Tax.

The amount of SDLT you pay when you buy a leasehold property, depends on whether it’s an existing lease (an assigned lease) or a new one. There are also different amounts of SDLT payable depending on whether you are buying residential or non-residential property.

SDLT is usually payable when you buy a property through a shared ownership scheme run by an approved public body.

This includes:

  • local housing authorities
  • housing associations
  • housing action trusts
  • the Northern Ireland Housing Executive
  • the Commission for the New Towns
  • development corporations

Buyers of these properties can choose to make a one-off payment based on the market value of the property (‘market value election’) or pay the SDLT due in stages.

The rules are complex and the amount of SDLT depends on many different factors. If you require any further assistance, we can help.

Source:HM Revenue & Customs| 24-04-2023
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