Any acquisition of land will generally incur property transaction taxes (Stamp Duty Land Tax (SDLT) in England and Northern Ireland, Land Transaction Tax (LTT) in Wales, and Land and Buildings Transaction Tax (LBTT) in Scotland). All are payable at different rates on slices of the price and in each case, higher rates are charged for residential property than for commercial property.

Investors in residential projects (including Build to Rent (BTR) can save significant amounts from their stamp duty liability if multiple dwellings relief ("MDR") can be claimed. Generally, it will be available if the development is completed, or has been developed beyond foundations stage (commonly known as Golden Brick).

The good news for those investing in Scotland is that there are substantial – and beneficial - differences between how the relief applies in Scotland and the rest of the UK, and how it interacts with the Additional Dwelling Supplement (ADS) (Scotland's 4% surcharge on residential property – in England it is known as the HRAD). If you want to know more, please download the briefing note below.


Isobel d'Inverno

Director of Corporate Tax

Johane Murray

Head of Real Estate & Partner