Who is typically responsible for paying Stamp Duty Land Tax in a residential conveyancing transaction?

Who is typically responsible for paying Stamp Duty Land Tax in a residential conveyancing transaction?

• A. The buyer
• B. The seller
• C. The lender
• D. The estate agent

Answer: (A)

Stamp Duty Land Tax is charged on the transfer of property, and in a typical residential purchase the person who acquires the property—the buyer—bears the SDLT liability. The buyer’s solicitor calculates the amount (using the purchase price and any reliefs, such as for first-time buyers) and files the SDLT return with HMRC, paying the tax after completion or by the required deadline. The seller, lender, or estate agent don’t pay SDLT as part of a normal sale. So the buyer is the party responsible for SDLT.

Stamp Duty Land Tax is charged on the transfer of property, and in a typical residential purchase the person who acquires the property—the buyer—bears the SDLT liability. The buyer’s solicitor calculates the amount (using the purchase price and any reliefs, such as for first-time buyers) and files the SDLT return with HMRC, paying the tax after completion or by the required deadline. The seller, lender, or estate agent don’t pay SDLT as part of a normal sale. So the buyer is the party responsible for SDLT.