Commercial stamp duty calculator (SDLT)
How much SDLT do you pay on commercial property?
As of October 2026, buying commercial or mixed-use property in England or Northern Ireland pays SDLT at the non-residential rates: nothing on the first £150,000, 2% on the next £100,000 and 5% on the rest. A £275,000 freehold pays £3,250.
Updated
The price for the freehold, or for an existing lease you're buying. Include VAT if VAT is charged on the sale.
The SDLT on this purchase
Enter the price to see the tax, worked out band by band.
The rates
| Portion of the price | Rate |
|---|---|
| Up to £150,000 | 0% |
| £150,001 to £250,000 | 2% |
| Above £250,000 | 5% |
The same rates apply to a freehold, to the price of an existing lease you buy, and to any premium on a new lease. Each rate is charged only on the part of the price that falls in its band (GOV.UK).
Non-residential property includes commercial property such as shops and offices, property that isn't suitable to be lived in and can't be made suitable, forests, agricultural land that is part of a working farm or used for agriculture, and other land that isn't part of a home's garden or grounds. Six or more residential properties bought in one transaction can also be taxed at these rates (GOV.UK). A property with both residential and non-residential parts, such as a shop with a flat above it, is mixed-use and pays these rates on the whole price (GOV.UK).
The higher rates for additional dwellings (Schedule 4ZA) and the 2% surcharge for buyers not resident in the UK (Schedule 9A) apply to residential property only. If VAT is charged on the sale, for example because the seller has opted to tax the building, SDLT is worked out on the price including VAT (Finance Act 2003, Schedule 4, paragraph 2).
The return is due within 14 days of the effective date, even if no tax is owed (GOV.UK). A return is needed for a freehold, or an existing lease of 7 years or more, bought for £40,000 or more, even if no tax is due (Finance Act 2003, section 77A). Wales charges Land Transaction Tax and Scotland charges Land and Buildings Transaction Tax, each with its own non-residential rates.
Buying a shop or office with a flat? See stamp duty on mixed-use property, with a price table against the residential rates.
Worked examples
| Price | Working | SDLT |
|---|---|---|
| £275,000 (GOV.UK's example) | £0 + £2,000 + £1,250 | £3,250 |
| £500,000 | £0 + £2,000 + £12,500 | £14,500 |
| £1,000,000 | £0 + £2,000 + £37,500 | £39,500 |
What this calculator leaves out
- New leases: the rent is taxed too. Use the commercial lease SDLT calculator.
- Linked transactions (purchases from the same seller, or connected sellers, that form one deal), which are taxed on their combined price (Finance Act 2003, section 108).
- Reliefs and exemptions, such as group relief, and multiple dwellings relief before it ended.
- Homes: buying a house or flat pays the residential rates. Use the stamp duty calculator for England.
- England and Northern Ireland only (GOV.UK).
Looking at premises in a particular town? See commercial leases by town: the local stock of business premises, rateable values and energy ratings.
Questions
What are the SDLT rates for commercial property?
What counts as non-residential property?
What about a shop with a flat above it?
Do the 5% higher rates or the non-UK resident surcharge apply?
Is VAT included in the price for SDLT?
What if I'm taking a new lease rather than buying?
When is the return due?
Does this work for Wales or Scotland?
Sources
- GOV.UK: SDLT rates for non-residential and mixed land and property
- Finance Act 2003, section 55 (rates and bands)
- Finance Act 2003, Schedule 4 para 2 (VAT counts as consideration)
- Finance Act 2003, Schedule 4ZA (higher rates: residential property)
- Finance Act 2003, Schedule 9A (non-UK resident surcharge: residential property)
- Finance Act 2003, sections 76 and 77A (returns and the £40,000 threshold)
Rates checked against these sources on 23 October 2026. Updated . This is a calculation, not legal or tax advice: Instrukt is not a law firm or a tax adviser.
Buying an existing lease?
The price is only part of it: the rent, repairs and break clauses carry on. Tell us about the lease and we'll introduce you to an independent SRA-regulated solicitor we work with, who will quote before any work starts.
Tell us about the lease