Stamp Duty
£14,500
Effective rate: 2.90%
Non-residential/mixed-use SDLT rates, England and Northern Ireland. Covers freehold and lease premium purchases only — SDLT on the net present value of rent under a new commercial lease is calculated separately and not included here. Illustrative only — not professional tax advice.
What This Calculator Does
This tool calculates UK Stamp Duty Land Tax (SDLT) on non-residential and mixed-use property purchases in England and Northern Ireland — offices, shops, warehouses, land, and any transaction involving six or more residential dwellings bought together, which HMRC also taxes at these commercial rates.
Enter the purchase price and flag whether the seller has opted to tax the property for VAT, and the calculator shows the total SDLT due, your effective rate, and a full band-by-band breakdown.
How the Calculation Works
Commercial SDLT uses three bands, applied to portions of the price the same way residential SDLT does: 0% up to £150,000, 2% on the portion from £150,000 to £250,000, and 5% on everything above £250,000.
Unlike residential SDLT, there's no first-time buyer relief and no additional-dwelling surcharge — the rate is flat regardless of how many other properties the buyer owns or whether it's a company or individual purchasing.
If the seller has opted to tax the property, VAT at 20% is added to the purchase price, and SDLT is charged on that VAT-inclusive figure — this can meaningfully raise the tax bill on a commercial purchase compared with an otherwise identical VAT-exempt property.
Worked Example
Take a commercial unit purchased for £600,000, not VAT-opted.
- £0 – £150,000 @ 0%: £0
- £150,000 – £250,000 @ 2%: £2,000
- £250,000 – £600,000 @ 5%: £17,500
- Total SDLT: £19,500
That's an effective rate of 19,500 ÷ 600,000 = 3.25% across the whole purchase price.
Frequently Asked Questions
What counts as commercial or mixed-use property for SDLT?
Non-residential property includes commercial premises such as shops, offices, and warehouses, agricultural land, forests, and any other land or property not used as a dwelling. Mixed-use property — a shop with a flat above it, for example — is also taxed at these non-residential rates on the whole price, not split between residential and commercial bands.
Do commercial property buyers get any reliefs like residential first-time buyers?
No. The first-time buyer relief and the residential additional-dwelling surcharge only apply to residential property. Commercial and mixed-use purchases are taxed at the same flat non-residential rates regardless of the buyer's circumstances.
How does VAT affect commercial stamp duty?
If the seller has opted to charge VAT on the property (common for commercial buildings), that 20% VAT is added to the purchase price before SDLT is calculated, since SDLT is due on the total consideration paid, including VAT.
Is SDLT also charged on commercial lease rent, not just the purchase price?
Yes. New commercial leases can trigger a separate SDLT charge on the net present value of the total rent payable over the lease term, in addition to any SDLT on a lease premium. That calculation is different from a purchase-price calculation and isn't covered by this tool.
Does buying six or more residential properties in one transaction count as commercial?
Yes. HMRC treats the purchase of six or more residential dwellings in a single transaction as non-residential for SDLT purposes, so the commercial rates and bands on this calculator apply instead of the residential ones.