Stamp Duty on Land Purchase Calculator UK 2025

Calculate SDLT on agricultural land, development land, and residential land purchases

Land Stamp Duty Calculator UK

Type of Land

Land Purchase Price

Agricultural land uses non-residential SDLT rates. No additional property surcharge applies. Includes farmland, woodland, and land used for farming purposes.

Land SDLT Classification

The stamp duty you pay on land depends on how HMRC classifies it. Agricultural and most development land uses non-residential rates (lower). Residential land uses standard residential rates and may attract the 5% surcharge if you already own property.

Agricultural & Development Land SDLT Rates

Agricultural land and development land without residential planning permission use non-residential (commercial) SDLT rates:

Non-Residential Land Rates

Band	Rate
Up to £150,000	0%
£150,001 to £250,000	2%
Over £250,000	5%

No additional property surcharge applies to non-residential land

Residential Land SDLT Rates

Land classified as residential (with dwellings, gardens, or active residential development) uses standard residential rates:

Residential Land Rates

Band	Rate
Up to £250,000	0%
£250,001 to £925,000	5%
£925,001 to £1.5m	10%
Over £1.5m	12%

Add 5% to each band if this is an additional property

SDLT by Land Type Comparison

Land Price	Agricultural	Development	Residential	Res + Surcharge
£150,000	£0	£0	£0	£7,500
£250,000	£2,000	£2,000	£0	£12,500
£400,000	£9,500	£9,500	£7,500	£27,500
£500,000	£14,500	£14,500	£12,500	£37,500
£750,000	£27,000	£27,000	£25,000	£62,500
£1,000,000	£39,500	£39,500	£41,250	£91,250

Development land rates shown assume no residential planning permission. Land with residential planning permission may attract residential rates.

Understanding Land Classifications for SDLT

Agricultural Land

- Farmland and pasture
- Woodland and forestry
- Land used for farming
- No dwellings included
Uses: Non-residential rates

Development Land

- Bare land for building
- Land with planning potential
- Brownfield sites
- Former industrial land
Uses: Usually non-residential rates*

Residential Land

- Gardens and grounds
- Land with dwellings
- Active building sites
- Acted-upon planning
Uses: Residential rates + surcharge

*Development land with full residential planning permission being acted upon may be treated as residential land by HMRC.

Mixed-Use Land Transactions

When buying land that combines residential and non-residential elements (e.g., a farmhouse with agricultural land), the entire transaction may qualify for non-residential rates.

Advantages of Mixed-Use

- Lower overall SDLT rates
- No additional property surcharge
- Can significantly reduce costs

Requirements

- Genuine commercial/agricultural use
- Not just incidental to dwelling
- HMRC may challenge claims

Official HMRC Resources

HMRC: SDLT on Land Transactions

Official HMRC guidance on Stamp Duty Land Tax

HMRC: Non-Residential Property Rates

Detailed rates for non-residential land and property

HMRC: Mixed-Use Property Guidance

How mixed residential and non-residential purchases are taxed

Stamp Duty on Land Purchase UK: Complete Guide 2025

When buying land in England or Northern Ireland, you may need to pay Stamp Duty Land Tax (SDLT). The amount depends on the type of land, its value, and whether you already own residential property. This guide explains how stamp duty on land purchases works and helps you calculate your liability.

Land Stamp Duty Calculator UK: How It Works

Our land stamp duty calculator applies the correct rates based on your land type. SDLT on land is calculated progressively in bands, not as a flat rate on the total price. The key question is whether your land is classified as residential or non-residential.

Agricultural Land Stamp Duty

Agricultural land is treated as non-residential property for SDLT purposes. This means lower rates and no additional property surcharge:

0% on the first £150,000
2% on £150,001 to £250,000
5% on amounts over £250,000

This applies to farmland, pasture, woodland, and land actively used for agricultural purposes. If the land includes a farmhouse, the transaction may still qualify for non-residential rates as a mixed-use purchase.

Development Land Stamp Duty

Bare development land without planning permission uses non-residential SDLT rates. However, the classification can change based on planning status:

No planning permission: Non-residential rates apply
Outline planning permission: Usually non-residential
Full planning permission (not acted upon): Usually non-residential
Planning permission being acted upon: May be residential
Construction begun: Residential rates likely apply

Residential Land Stamp Duty

Land is residential for SDLT if it includes dwellings, forms part of a dwelling's garden or grounds, or is being developed for residential use with construction underway. Residential land uses standard SDLT rates:

0% on the first £250,000
5% on £250,001 to £925,000
10% on £925,001 to £1,500,000
12% on amounts over £1,500,000

The 5% additional property surcharge applies to residential land if you already own other residential property.

Stamp Duty on Land: Key Considerations

When calculating stamp duty on land purchase, consider:

Planning status: Can change classification between purchase and completion
Mixed-use potential: Combining residential and non-residential may reduce SDLT
Scotland and Wales: Different taxes apply (LBTT and LTT respectively)
Multiple Dwellings Relief: May apply if land includes several dwellings
Professional advice: Complex cases require specialist tax guidance

When to Pay Stamp Duty on Land

SDLT is due within 14 days of completion for land purchases over the threshold. For non-residential land, this is £150,000. For residential land, it's £250,000 (or £40,000 if the additional property surcharge applies). Your solicitor will typically handle the SDLT return and payment as part of the conveyancing process.

Frequently Asked Questions

What is stamp duty on land purchase in the UK?

Stamp Duty Land Tax (SDLT) applies to land purchases in England and Northern Ireland, just as it does to property purchases. The rate you pay depends on whether the land is classified as residential or non-residential (commercial/agricultural). Agricultural land and bare development land typically use non-residential rates, while land with residential planning permission may be treated as residential.

How is agricultural land taxed for stamp duty?

Agricultural land is classified as non-residential property for SDLT purposes. This means you pay 0% on the first £150,000, 2% on £150,001-£250,000, and 5% on anything over £250,000. There's no additional property surcharge for pure agricultural land, making it more tax-efficient than residential property.

Does development land pay residential or commercial SDLT rates?

It depends on the planning status. Bare land without planning permission typically uses non-residential rates. However, land with residential planning permission or where residential development has begun may be treated as residential land, attracting higher rates and potentially the 5% additional property surcharge.

Is there an additional property surcharge on land purchases?

The 5% additional property surcharge only applies to residential property and residential land. Agricultural land, commercial land, and development land without residential planning permission are exempt from the surcharge. If you're buying land with residential planning permission as an additional property, the surcharge would apply.

What counts as residential land for SDLT?

Land counts as residential if: it has buildings used as dwellings, it's being developed for residential use and construction has begun, it's in the garden or grounds of a dwelling, or it has planning permission for residential development that's being acted upon. Land with only outline residential planning permission is usually still non-residential.

How do I calculate stamp duty on a land purchase?

First, determine if the land is residential or non-residential for SDLT purposes. Then apply the relevant rates in bands (SDLT is calculated progressively, not as a flat rate). For non-residential land, rates are 0% up to £150,000, 2% on £150,001-£250,000, and 5% above £250,000.

Is there stamp duty relief for farmland purchases?

There's no specific farmland relief, but agricultural land benefits from non-residential rates which are lower than residential rates. Transfers between certain family members may qualify for other reliefs. If buying a farm as a going concern with existing business, seek professional advice on whether relief applies.

What about mixed-use land with residential and agricultural elements?

Mixed-use transactions (combining residential and non-residential elements) are typically taxed at non-residential rates, which can be advantageous. For example, buying a farmhouse with extensive agricultural land may qualify for non-residential rates on the entire purchase, even though part is residential.

Official Government Resources

HMRC: SDLT on Land TransactionsGOV.UK