Updated to 5 December 2024 LBTT rates
First-Time Buyer LBTT Calculator (Scotland)
First-time buyer LBTT in Scotland: zero tax on the first £175,000 of any price (no upper cap, unlike England's SDLT relief). See the saving, worth up to £600, and the per-band breakdown.
- Purchase price (98.9%)
- LBTT (1.1%)
LBTT adds about 1.1% on top of the purchase price.
| Purchase price | £280,000 |
|---|---|
| FTB: Nil rate | |
| £175,000 at 0% | £0 |
| FTB: 2% band | |
| £75,000 at 2% | £1,500 |
| FTB: 5% band | |
| £30,000 at 5% | £1,500 |
| Total LBTT | £3,000 |
| Total cash required | £283,000 |
Information
Buying your first home in Scotland means a higher tax-free band: £175,000 instead of the standard £145,000. Unlike England's SDLT relief there is no upper price cap, so that nil-rate band applies whatever the purchase costs.
How the saving works. Compared to a buyer who already owns a property, a first-time buyer pays £0 on the slice between £145,000 and £175,000, which would otherwise be taxed at 2%. That is a maximum saving of £600, reached at £175,000, and it applies in full at any higher price: it does not taper or disappear.
What counts as a first-time buyer. You must have never owned residential property anywhere in the world. Joint buyers both need to qualify; if either has owned before, neither gets the relief. Inherited property counts as previous ownership.
What's not. England and Northern Ireland have separate FTB rules under SDLT (a more generous nil-band at £300,000, but a hard £500,000 price cap above which relief disappears). Wales has no FTB relief at all; LTT sets a single higher nil-rate band for every buyer instead.
FAQ
- What counts as a first-time buyer in Scotland?
Revenue Scotland treats you as a first-time buyer if you've never owned residential property anywhere in the world. Joint buyers both need to qualify, and inherited property counts as previous ownership. The relief raises the nil-rate band from £145,000 to £175,000, sparing you the 2% that £30,000 slice would otherwise carry, and there is no upper price cap: a first-time buyer pays £0 on the first £175,000 however much the property costs, a saving of up to £600 once the price passes £175,000.
- I'm buying through a limited company: is there a special Scottish rate?
No. Scotland has no equivalent to England's flat 17% corporate rate. Limited companies and other non-natural persons pay standard LBTT plus the Additional Dwelling Supplement (a flat 8% on the entire purchase price), the same as any additional-property buyer. England addressed corporate avoidance with a punitive flat rate; Scotland addressed the same concern by raising ADS instead.
- When does the Additional Dwelling Supplement apply?
When you'll own two or more residential properties at completion and the new one isn't replacing your only main residence, so buy-to-let, second homes, and holiday homes all trigger it. ADS is a flat 8% on the entire purchase price, applied on top of standard LBTT. Purchases below £40,000 are exempt. Unlike England's per-band surcharge, ADS doesn't compound through the band schedule; it's one flat amount.
- What if I'm replacing my main residence but haven't sold the old one yet?
You'll pay ADS at completion and can claim a refund if the previous main residence is sold within 36 months. This calculator shows the headline ADS; refund eligibility is downstream.
- Do I pay LBTT in England or Wales?
No. England and Northern Ireland have Stamp Duty Land Tax (SDLT); Wales has Land Transaction Tax (LTT). Use the region selector at the top of this page to switch between calculators.
Recent changes
-
Additional Dwelling Supplement raised from 6% to 8% (Scottish Budget 2024). Standard residential bands unchanged. The increase widens the LBTT-vs-SDLT gap on additional-property purchases: at £300,000 the ADS alone is now £24,000 (vs £15,000 of additional-property tax under SDLT).
-
Additional Dwelling Supplement raised from 4% to 6%. Standard residential bands unchanged.
-
Additional Dwelling Supplement raised from 3% to 4%.
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Additional Dwelling Supplement introduced at 3% on the entire purchase price of additional residential property. Below £40,000 exempt. Concurrent with the UK-wide SDLT additional-property surcharge launched on the same date.
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Land and Buildings Transaction Tax replaces UK Stamp Duty Land Tax in Scotland. Residential bands established at 0% to £145k, 2% to £250k, 5% to £325k, 10% to £750k, 12% above. First-time buyer relief introduced separately; see history of the relief on Revenue Scotland's site.
Sources
- Land and Buildings Transaction Tax: residential rates and bands (Revenue Scotland)
- Additional Dwelling Supplement (ADS) (Revenue Scotland)
- First-time buyer relief (Revenue Scotland)
Disclaimer
Not financial or legal advice. Figures are computed from the legislative tables published by Revenue Scotland. Consult a Scottish conveyancer for the authoritative figure on your specific purchase.
