Will I have to pay stamp duty on my home?
You will only be required to pay stamp duty land tax if the value of the property is more than £125,000. The full stamp duty thresholds are:
- 0% on the first £125,000 of the property price
- 2% on the portion between £125,001 and £250,000
- 5% on the portion between £250,001 and £925,000
- 10% on the portion between £925,001 and £1.5 million
- 12% above £1.5 million
For example, a home purchased at £400,000 will pay no tax on the first £125,000, 2% on the next £125,000 and 5% on the remaining £150,000. This would bring the total stamp duty bill to £10,000.