Question 1

What is LBTT in Scotland?

Accepted Answer

Land and Buildings Transaction Tax (LBTT) is Scotland's property purchase tax, replacing Stamp Duty Land Tax in 2015. It is a progressive slice tax: you pay 0% on the first £145,000, 2% from £145,001 to £250,000, 5% from £250,001 to £325,000, 10% from £325,001 to £750,000, and 12% above £750,000. An 8% Additional Dwelling Supplement (ADS) applies to second homes and buy-to-let purchases.

Question 2

How much LBTT do first-time buyers pay in Scotland?

Accepted Answer

First-time buyers in Scotland benefit from an extended nil-rate threshold of £175,000 instead of the standard £145,000. On a £200,000 purchase, a first-time buyer pays £500 in LBTT (2% on the slice £175,001–£200,000), versus £1,100 for a standard buyer. The maximum saving versus a standard buyer is £600. The relief does not apply if you have ever previously owned a home anywhere in the world.

Question 3

Is LBTT cheaper than Stamp Duty in England?

Accepted Answer

LBTT is generally cheaper than English Stamp Duty Land Tax (SDLT) for purchases below around £300,000. Above that, SDLT can be cheaper due to Scotland's higher top band rates. At £250,000, a Scottish buyer pays £2,100 LBTT versus £2,500 SDLT. At £500,000, a Scottish buyer pays £23,350 versus £15,000 SDLT — making Scotland more expensive at that price point.

Question 4

When do I have to pay LBTT?

Accepted Answer

LBTT must be submitted and paid within 30 days of the effective date of the transaction (usually the date of entry/completion). Your solicitor normally handles the LBTT return and payment. Returns are submitted to Revenue Scotland (not HMRC). Failing to file on time results in automatic penalties. A nil return must still be filed even if no LBTT is due.

Property price	Standard LBTT	First-time buyer	English SDLT
£100,000	£0	£0	£0
£125,000	£0	£0	£0
£145,000	£0	£0	£400
£150,000	£100	£0	£500
£175,000	£600	£0	£1,000
£180,000	£700	£100	£1,100
£200,000	£1,100	£500	£1,500
£220,000	£1,500	£900	£1,900
£225,000	£1,600	£1,000	£2,000
£250,000	£2,100	£1,500	£2,500
£275,000	£3,350	£2,750	£3,750
£300,000	£4,600	£4,000	£5,000
£325,000	£5,850	£5,250	£6,250
£350,000	£8,350	£7,750	£7,500
£375,000	£10,850	£10,250	£8,750
£400,000	£13,350	£12,750	£10,000
£425,000	£15,850	£15,250	£11,250
£450,000	£18,350	£17,750	£12,500
£475,000	£20,850	£20,250	£13,750
£500,000	£23,350	£22,750	£15,000
£550,000	£28,350	£27,750	£17,500
£600,000	£33,350	£32,750	£20,000
£650,000	£38,350	£37,750	£22,500
£700,000	£43,350	£42,750	£25,000
£750,000	£48,350	£47,750	£27,500
£800,000	£54,350	£53,750	£30,000
£900,000	£66,350	£65,750	£35,000
£1,000,000	£78,350	£77,750	£43,750
£1,250,000	£108,350	£107,750	£68,750
£1,500,000	£138,350	£137,750	£93,750

Property price	Standard LBTT	First-time buyer	English SDLT
£100,000	£0	£0	£0
£125,000	£0	£0	£0
£145,000	£0	£0	£400
£150,000	£100	£0	£500
£175,000	£600	£0	£1,000
£180,000	£700	£100	£1,100
£200,000	£1,100	£500	£1,500
£220,000	£1,500	£900	£1,900
£225,000	£1,600	£1,000	£2,000
£250,000	£2,100	£1,500	£2,500
£275,000	£3,350	£2,750	£3,750
£300,000	£4,600	£4,000	£5,000
£325,000	£5,850	£5,250	£6,250
£350,000	£8,350	£7,750	£7,500
£375,000	£10,850	£10,250	£8,750
£400,000	£13,350	£12,750	£10,000
£425,000	£15,850	£15,250	£11,250
£450,000	£18,350	£17,750	£12,500
£475,000	£20,850	£20,250	£13,750
£500,000	£23,350	£22,750	£15,000
£550,000	£28,350	£27,750	£17,500
£600,000	£33,350	£32,750	£20,000
£650,000	£38,350	£37,750	£22,500
£700,000	£43,350	£42,750	£25,000
£750,000	£48,350	£47,750	£27,500
£800,000	£54,350	£53,750	£30,000
£900,000	£66,350	£65,750	£35,000
£1,000,000	£78,350	£77,750	£43,750
£1,250,000	£108,350	£107,750	£68,750
£1,500,000	£138,350	£137,750	£93,750

LBTT by property price

LBTT at every common Scottish property price

LBTT Explained: Scotland's Property Tax

ADS Refund: How to Reclaim 8%

LBTT by property price

LBTT at every common Scottish property price

LBTT Explained: Scotland's Property Tax

ADS Refund: How to Reclaim 8%