Main residential rates from 10 October 2022
| Portion of the price | Rate |
|---|---|
| Up to £225,000 | 0% |
| £225,001 to £400,000 | 6% |
| £400,001 to £750,000 | 7.5% |
| £750,001 to £1.5 million | 10% |
| Above £1.5 million | 12% |
Example (WRA): on a £280,000 home you pay 0% on the first £225,000 and 6% on the remaining £55,000 — a total of £3,300.
First-time buyers
There is no first-time buyer relief in Wales. Every buyer of their only home pays the main rates — the £225,000 nil-rate band applies to everyone.
Higher residential rates from 11 December 2024
Unlike SDLT, the LTT higher rates are a separate band table, not a surcharge added to the main rates. They apply if a buyer will own two or more dwellings at the end of the day of completion and the price is £40,000 or more.
| Portion of the price | From 11 Dec 2024 | 22 Dec 2020 – 10 Dec 2024 |
|---|---|---|
| Up to £180,000 | 5% | 4% |
| £180,001 to £250,000 | 8.5% | 7.5% |
| £250,001 to £400,000 | 10% | 9% |
| £400,001 to £750,000 | 12.5% | 11.5% |
| £750,001 to £1.5 million | 15% | 14% |
| Above £1.5 million | 17% | 16% |
Example (WRA): a second home costing £260,000 pays £15,950 at the current higher rates (£13,350 at the 2020–24 rates).
Replacing a main residence? The main rates apply if the previous main residence has already been sold. If it hasn't sold by completion, the higher rates are payable, but the difference can be reclaimed from the WRA if it sells within 3 years.
Companies
Companies and other non-individual buyers pay the higher residential rates on any dwelling costing £40,000 or more. There is no 17% flat rate and no non-resident surcharge in Wales.
Non-residential and mixed-use property from 22 December 2020
| Portion of the price | Rate |
|---|---|
| Up to £225,000 | 0% |
| £225,001 to £250,000 | 1% |
| £250,001 to £1 million | 5% |
| Above £1 million | 6% |
Before 22 December 2020 the nil band ended at £150,000. Buyers of six or more dwellings in one transaction can choose the non-residential rates instead of the higher residential rates (with or without multiple dwellings relief).
Leases
On a new non-residential lease, LTT is charged on the premium at the rates above plus the net present value (NPV) of the rent, discounted at 3.5% a year:
| NPV of rent — non-residential | Rate |
|---|---|
| Up to £225,000 | 0% |
| £225,001 to £2 million | 1% |
| Above £2 million | 2% |
Rent on residential leases is not taxed in Wales; only any premium is.
Transitional rules
When the higher rates rose on 11 December 2024 (and on 22 December 2020), buyers who had exchanged contracts before that date can generally still use the previous rates, even if they complete later. Our calculator asks for the exchange date and applies this for you.
Filing and paying
The LTT return must be filed with the WRA, and the tax paid, within 30 days of the day after the effective date (normally completion). Transactions under £40,000 are generally not notifiable. Pay by bank transfer quoting the 12-character UTRN from the online return.
Rate history
| Date | Change |
|---|---|
| 11 December 2024 | Higher residential rates up by 1 percentage point in every band |
| 10 October 2022 | Main rates nil band raised to £225,000; 6% band from £225,001 to £400,000 |
| 1 July 2021 | Temporary £250,000 nil band ended; main rates back to 0% up to £180,000 |
| 22 December 2020 | Higher residential rates up by 1 point; non-residential nil band raised to £225,000 |
| 27 July 2020 | Temporary £250,000 main rates nil band (to 30 June 2021) |
| 1 April 2018 | Land Transaction Tax replaced SDLT in Wales |
Rates summarise the Welsh Revenue Authority's published guidance and are for guidance only. FileSDLTonline calculates LTT but files SDLT returns only — LTT returns are filed with the WRA.