Tax planning · England & NI · 2025/26
How to legally reduce your Stamp Duty
Stamp Duty Land Tax (SDLT) has fewer "planning" levers than other taxes — it's mostly about claiming the reliefs you're entitled to and not overpaying. Here are the genuine ones in plain English, plus a clear warning about the reclaim scams doing the rounds.
📘This is education, not advice. The reliefs below exist in law and apply in specific situations. Claiming one you qualify for is legal. Misdescribing a property or transaction to cut SDLT is tax evasion — which is illegal. Use a reputable conveyancer or tax adviser.
⚠️Beware "stamp duty reclaim" cold-callers. Firms phoning or emailing to say you "overpaid" and can reclaim thousands — often citing "uninhabitable property", "mixed-use" or "multiple dwellings" — frequently file spurious claims. If HMRC rejects them, you repay the tax plus interest and penalties, while the firm keeps its fee. Only act on advice from a qualified, regulated professional. Note: Multiple Dwellings Relief was abolished on 1 June 2024.
Enter the price and your situation. The tool shows first-time buyer savings, or the surcharge you can reclaim when replacing your main home.
Illustration only, England & Northern Ireland residential rates for 2025/26 (Scotland uses LBTT, Wales uses LTT). Doesn't replace advice. Open the full stamp duty calculator →
The reliefs, explained simply
Each card tells you what it is, who can use it, and what to watch out for — with a link to the official HMRC guidance.
🔑 First-time buyer relief
First-time buyers
If you've never owned a home, you pay no SDLT up to £300,000, then 5% on the part from £300,000 to £500,000.
Who: first-time buyers buying a home to live in, priced at £500,000 or less.
Watch out: no relief at all if the price is above £500,000, and everyone buying must be a first-time buyer.
Official guidance →
💷 Reclaim the surcharge
Home movers
If you buy your new main home before selling the old one, you pay the 5% additional-property surcharge — but you can reclaim it if you sell the previous main home within 36 months.
Who: people replacing their main residence in a chain or after a delay.
Watch out: there are strict deadlines to claim the refund — diarise them and apply to HMRC.
Official guidance →
🏪 Genuine mixed-use property
Advanced
Property that is genuinely part residential and part commercial (e.g. a shop with a flat) is taxed at lower non-residential rates.
Who: buyers of truly mixed-use property.
Watch out: HMRC challenges weak claims (a large garden or paddock doesn't make a home "mixed-use"). Get proper advice — this is a common scam angle.
Official guidance →
🛋️ Genuine chattels
Everyone
SDLT is charged on the property, not on moveable items. The reasonable value of free-standing furniture, carpets and curtains can be excluded from the chargeable price.
Who: buyers paying separately for genuine moveable contents.
Watch out: values must be realistic — inflating them to dodge SDLT is evasion. Fixtures (a fitted kitchen) don't count.
Official guidance →
🏘️ Shared ownership
Scheme buyers
With shared-ownership homes you can choose to pay SDLT on the share you buy (and as you "staircase" up), rather than the full value upfront.
Who: buyers using approved shared-ownership schemes.
Watch out: the choice you make at the start affects later SDLT — take advice on which option suits you.
Official guidance →
🛑 Avoid "reclaim" schemes
Warning
Cold-call firms promising SDLT refunds via "uninhabitable", "mixed-use" or "multiple dwellings" arguments often file invalid claims. Multiple Dwellings Relief was abolished on 1 June 2024.
Who: nobody should act on unsolicited "you overpaid" calls.
Watch out: if HMRC rejects the claim, you repay the tax plus interest and penalties — and the firm keeps its fee.
Official warning →
Legal planning vs. illegal evasion
Claiming genuine reliefs and refunds is fine. Misdescribing the property or its price is not.
✓ Legal planning
Claiming first-time buyer relief you qualify for; reclaiming the surcharge after selling your old home; paying a realistic, separate price for genuine furniture.
✗ Illegal evasion
Calling a normal house "mixed-use"; claiming abolished reliefs; inflating the value of "chattels"; under-stating the real price paid.
Frequently asked questions
How can I legally reduce stamp duty?
Claim first-time buyer relief if eligible, reclaim the surcharge when you replace your main home within 36 months, pay the right rate for genuinely mixed-use property, and exclude the reasonable value of genuine moveable items.
Can I get a stamp duty refund?
Yes in specific cases — most often the 5% surcharge when replacing your main home. Be very wary of firms cold-calling about other "reclaims"; you stay liable to HMRC if they're wrong.
Is Multiple Dwellings Relief still available?
No. It was abolished for purchases completing on or after 1 June 2024, so reclaim claims based on it for recent purchases aren't valid.
Do these rates apply across the UK?
No — these are England & Northern Ireland (SDLT). Scotland has LBTT and Wales has LTT, each with their own reliefs.
Related
Educational guide — not tax or legal advice. England & Northern Ireland SDLT for 2025/26. Reliefs have detailed conditions and change over time (Multiple Dwellings Relief ended 1 June 2024). Whether a relief applies depends on your circumstances. Always confirm with
HMRC and a qualified conveyancer or tax adviser before acting.