How much Stamp Duty Land Tax (SDLT) is payable on a £275,000 purchase by a couple who have never owned property before?

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Multiple Choice

How much Stamp Duty Land Tax (SDLT) is payable on a £275,000 purchase by a couple who have never owned property before?

Explanation:
First-time buyer relief applies to residential purchases by people who have never owned a property and want it as their main home. It lifts the zero-rate band to £425,000. When both purchasers are first-time buyers, the relief covers the whole price up to that band. With a £275,000 price, the entire amount sits within the zero-rate band, so no Stamp Duty Land Tax is due. If relief didn’t apply (for example, if one buyer had previously owned property or it wasn’t their main home), SDLT would be calculated on standard rates: 0% up to £125,000, 2% on the next £125,000, and 5% on the final £25,000, totaling £3,750.

First-time buyer relief applies to residential purchases by people who have never owned a property and want it as their main home. It lifts the zero-rate band to £425,000. When both purchasers are first-time buyers, the relief covers the whole price up to that band. With a £275,000 price, the entire amount sits within the zero-rate band, so no Stamp Duty Land Tax is due.

If relief didn’t apply (for example, if one buyer had previously owned property or it wasn’t their main home), SDLT would be calculated on standard rates: 0% up to £125,000, 2% on the next £125,000, and 5% on the final £25,000, totaling £3,750.

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