Developers: partner with us, save on Stamp Duty for your limited company
Are you a developer? Expenses are part of buying property, but unnecessary Stamp Duty doesn’t have to be one of those. 1 in 3 overpay HMRC in Stamp Duty. Partner with us to save thousands in missed reliefs.
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Trusted by our customers
What is Stamp Duty for limited companies?
Companies purchasing residential properties pay more in Stamp Duty. You pay a 3% surcharge to the normal rates if you’re a company. Properties below £40,000 are exempt, so you pay nothing.
If your company meets certain criteria, you pay 15% in Stamp Duty when buying properties over £500,000.
You may be able to pay less if you qualify for exemptions or relief.
What are Stamp Duty rates?
- Standard residential Stamp Duty rates*
- 0% up to £250,000
- 5% on the proportion from £250,001 to £925,000
- 10% on the proportion from £925,001 to £1.5 million
- 12% on any remaining amount over £1.5 million
- *You pay an additional 2% on all residential rates if you’re a non-UK resident buying property in England or Northern Ireland.
- Higher residential Stamp Duty rates*
- 3% up to £250,000
- 8% on the proportion from £250,001 to £925,000
- 13% on the proportion from £925,001 to £1.5 million
- 15% on any remaining amount over £1.5 million
- *You pay an additional 3% on individual residential rates if you own another property already.
- Non-residential Stamp Duty rates*
- 0% up to £150,000
- 2% on the proportion from £150,001 to £250,000
- 5% on any remaining amount over £250,000
- *If your company meets certain criteria, the company residential stamp duty rates do not apply and you pay a 15% rate on properties over £500,000. You do not pay the 3% surcharge on top of this.
Limited company SDLT examples
01
Example 1: You buy a residential property for £300,000 as a company.
Because you are a company and not an individual buyer, you pay a 3% surcharge to the normal Stamp Duty rates.
You pay £11,500 in Stamp Duty.
02
Example 2: Your company buys a non-residential property for £300,000.
Because the property is non-residential, you pay less Stamp Duty, regardless of the fact that you’re a company.
You pay £4,500 in Stamp Duty.
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Example 3: Your company is considered a “non-natural persons”. You buy a residential property for £600,000.
Because the property costs more than £500,000 and you have this classification, you pay the 15% Stamp Duty rates.
You pay £90,000 in Stamp Duty.
Become a referral partner
A residential property is a property that can and will be lived in. It does not have to be lived in by you for it to be classed as residential.
For example, a property you buy to rent to a tenant is a residential property.
A non-residential property is a property that isn’t suitable to be lived in, including
- Commercial space, like shops or offices
- An uninhabitable property
- Forests or farmland
- Any other land or property that isn’t a dwelling’s garden or grounds
- Six or more residential properties bought in a single transaction
- You’re buying a second home
- You’re a company buying a residential property
- You’re a non-UK resident (you spend more than 183 days of the year abroad) buying property in England or Northern Ireland
- The cost of the property you’re buying exceeds the thresholds for a lower Stamp Duty rate
- Your company meets the criteria to be charged the 15% Stamp Duty rate
Your company pays less or no Stamp Duty if:
- The property costs less than £40,000
- You’re buying the property while acting as a trustee of a settlement
- You qualify for relief
You pay higher rates of Stamp Duty when buying a residential property as a company.
You may be able to apply for relief as a company to pay less or no Stamp Duty. You can apply for relief for:
- Uninhabitable properties
- Probate properties
- Mixed use properties
- Multiple dwellings
- Charities relief
- Relocation relief
- Chattels fixtures and fitting relief
- Chain break relief
- Sale and leaseback relief
- Employee relocation relief
- Land remediation relief
- Partnership relief
You can get a refund if you paid too much Stamp Duty or if certain events happen after buying the property. Learn more about Stamp Duty Refunds.
The refund you get depends on what relief you were eligible for at the time of purchase, or on the circumstances of your property up to 3 years after.
For example, if you merged 2 dwellings into 1 a year after purchase, you could get a refund if you paid the higher rates of Stamp Duty.
Who can become a referral partner?
Want to save on your next purchase?
At StampDuty.coms, we believe that paying the correct Stamp Duty is every homeowner’s right and every developer’s advantage. With 1 in 3 overpaying in Stamp Duty, we can prevent that or assist you in applying for a refund.
Become a referral partner
FAQs about Stamp Duty for limited companies
Companies pay a surcharge in Stamp Duty when buying a residential property (i.e., a house or flat they intend to live in or rent to a tenant). Companies pay an extra 3% on top of the standard residential rates. You pay less Stamp Duty when buying a non-residential property, like shops or an office block. You also pay less if you qualify for relief.
Companies must pay Stamp Duty when buying or transferring property unless you qualify for an exemption. For example, companies don’t pay Stamp Duty if the property costs below £40,000 or if it’s a non-residential purchase below £150,000.
A company also doesn’t pay Stamp Duty when transferring property between two companies in the same group. Learn more about Group Relief.
When buying through a limited company, you may be charged higher mortgage rates, fees, and deposits. However, your company will qualify for tax benefits, which can make buying via a company more profitable long-term. You also may be eligible for different Stamp Duty reliefs when you are a limited company vs an individual buyer. Learn more about Stamp Duty Reliefs.
