Residential rates from 1 April 2021
| Portion of the price | Rate |
|---|---|
| Up to £145,000 | 0% |
| £145,001 to £250,000 | 2% |
| £250,001 to £325,000 | 5% |
| £325,001 to £750,000 | 10% |
| Above £750,000 | 12% |
Examples (Revenue Scotland): a £235,000 home pays £1,800; an £875,000 home pays £63,350.
First-time buyer relief
First-time buyers get a higher nil-rate band of £175,000, saving up to £600. There is no price cap. On a £235,000 home a first-time buyer pays £1,200 instead of £1,800. The relief can't be combined with the ADS.
Additional Dwelling Supplement
The ADS is a flat percentage of the whole price, charged on top of LBTT, when a buyer will own more than one dwelling (or is a company) and the dwelling costs £40,000 or more.
| Effective date | ADS rate |
|---|---|
| From 5 December 2024 | 8% |
| 16 December 2022 – 4 December 2024 | 6% |
| 25 January 2019 – 15 December 2022 | 4% |
| 1 April 2016 – 24 January 2019 | 3% |
Example: a £235,000 buy-to-let pays £1,800 LBTT plus £18,800 ADS — £20,600 in total.
Replacing a main residence? No ADS is due if the previous main residence has already been sold. If it hasn't, the ADS is paid and can be reclaimed if the old home is sold within 36 months (18 months for purchases before 1 April 2024).
Companies
Companies and other non-individual buyers always pay the ADS on residential property of £40,000 or more. There is no corporate flat rate and no non-resident surcharge in Scotland.
Non-residential and mixed-use property from 25 January 2019
| Portion of the price | Rate |
|---|---|
| Up to £150,000 | 0% |
| £150,001 to £250,000 | 1% |
| Above £250,000 | 5% |
Example (Revenue Scotland): a £465,000 commercial property pays £11,750. Six or more dwellings bought in one transaction are always treated as non-residential, and the ADS doesn't apply.
Leases
On a new non-residential lease, LBTT is charged on any premium plus the net present value of the rent:
| NPV of rent — non-residential (from 7 February 2020) | Rate |
|---|---|
| Up to £150,000 | 0% |
| £150,001 to £2 million | 1% |
| Above £2 million | 2% |
Scottish non-residential leases also need a further return every 3 years, and when the lease is assigned or ends, so the tax can be recalculated on the actual rent. Most residential leases are exempt.
Transitional rules
Rate rises have generally protected buyers whose missives were concluded before the change — for example, the ADS rise to 8% doesn't apply where the contract was entered into before 5 December 2024. Our calculator asks for the missives date and applies this for you.
Filing and paying
The LBTT return is filed with Revenue Scotland (normally online through SETS) and the tax paid within 30 days of the effective date. Pay by bank transfer quoting the 13-character RS reference from the return.
Rate history
| Date | Change |
|---|---|
| 5 December 2024 | ADS raised from 6% to 8% |
| 1 April 2024 | ADS replacement window extended from 18 to 36 months |
| 16 December 2022 | ADS raised from 4% to 6% |
| 1 April 2021 | Temporary £250,000 nil band ended |
| 15 July 2020 | Temporary £250,000 residential nil band (to 31 March 2021) |
| 7 February 2020 | New 2% band for lease rent NPV above £2 million |
| 25 January 2019 | ADS to 4%; non-residential rates changed to 0% / 1% / 5% |
| 30 June 2018 | First-time buyer relief introduced |
Rates summarise Revenue Scotland's published guidance and are for guidance only. FileSDLTonline calculates LBTT but files SDLT returns only — LBTT returns are filed with Revenue Scotland.