LBTT Calculator - Calculate Scottish Property Tax 2025
Free calculator to determine Land and Buildings Transaction Tax for residential properties in Scotland with 2025 rates, first-time buyer relief, and Additional Dwelling Supplement
LBTT Calculator
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LBTT Breakdown:
What is a LBTT Calculator?
A LBTT Calculator is a free property tax tool that helps you calculate Land and Buildings Transaction Tax (LBTT) when buying residential property in Scotland. It determines the exact tax amount based on property price, buyer status, and current 2025 Revenue Scotland rates.
This calculator works for:
- First-time buyers - Calculate relief with increased nil rate band to £175,000
- Home movers - Determine standard LBTT on main residence purchases in Scotland
- Additional properties - Calculate 8% Additional Dwelling Supplement for second homes and buy-to-let
- Property budgeting - Understand total acquisition costs including LBTT
- Property comparison - Compare LBTT costs across different price points in Scotland
How LBTT Calculator Works
LBTT is calculated using tiered rates that apply to different portions of the property price (current as of 2025):
Standard Residential Rates:
- £0 - £145,000: 0%
- £145,001 - £250,000: 2%
- £250,001 - £325,000: 5%
- £325,001 - £750,000: 10%
- Above £750,000: 12%
First-Time Buyer Relief:
- £0 - £175,000: 0% (enhanced nil rate band)
- £175,001 - £250,000: 2%
- £250,001 - £325,000: 5%
- £325,001 - £750,000: 10%
- Above £750,000: 12%
Additional Dwelling Supplement (ADS):
- 8% surcharge on total purchase price (from Dec 5, 2024)
- Applies to second homes and buy-to-let properties over £40,000
- Paid in addition to standard LBTT rates
Example: For a £300,000 standard property:
- £0 - £145,000: £0 (0%)
- £145,001 - £250,000: £2,100 (2% of £105,000)
- £250,001 - £300,000: £2,500 (5% of £50,000)
- Total LBTT: £4,600
Key LBTT Concepts Explained
Tiered Taxation
LBTT uses progressive bands like income tax. Each portion of the purchase price is taxed at the rate for that band, not the entire amount at one rate.
First-Time Buyer Relief
You qualify if you and anyone else buying with you have never owned property anywhere in the world. Relief increases nil rate band to £175,000, saving up to £600.
Additional Dwelling Supplement
If you'll own more than one property after purchase (£40,000+), an 8% surcharge applies on the total purchase price in addition to standard LBTT rates.
Effective Rate
Your overall LBTT as a percentage of the purchase price. Lower than the top marginal rate due to tiered taxation.
How to Use the LBTT Calculator
- Enter Property Price: Input the agreed purchase price of the residential property in Scotland
- Select Buyer Type:
- Home Mover: Choose if you've owned property before and this will be your main residence
- First-Time Buyer: Select if neither you nor anyone buying with you has owned property before
- Additional Property: Choose for second homes, buy-to-let, or if you'll own multiple properties
- Click Calculate: View instant results showing total LBTT, effective rate, and detailed breakdown by tax band
- Review Breakdown: Check how LBTT is calculated across different price bands to understand your tax liability
- Plan Your Budget: Add LBTT to solicitor fees, survey costs, and removal expenses for total moving costs
Important Notes:
- LBTT must be paid within 30 days of completion
- Your solicitor typically handles payment and submission to Revenue Scotland
- First-time buyer relief increases nil rate band to £175,000
- ADS rate increased from 6% to 8% on December 5, 2024
- Rates shown are current as of November 2025
Benefits of Using LBTT Calculator
Factors Affecting LBTT
Property Price:
Higher prices incur more LBTT due to progressive tax bands. Properties over £750,000 pay 12% on the portion above this threshold.
First-Time Buyer Status:
First-time buyers save with an enhanced nil rate band of £175,000 (vs £145,000 standard). A £300,000 property costs £2,500 LBTT instead of £4,600 for standard buyers - saving £2,100.
Additional Property Ownership:
Owning multiple properties adds 8% surcharge on the total price (properties £40,000+). This significantly increases LBTT - e.g., £300,000 property: standard LBTT £4,600 + ADS £24,000 = total £28,600.
Property Type:
This calculator is for residential properties in Scotland. Commercial properties, mixed-use properties, and non-residential land have different LBTT rules and rates.
Location:
LBTT applies in Scotland only. England and Northern Ireland have SDLT (Stamp Duty Land Tax) and Wales has LTT (Land Transaction Tax) with different rates and thresholds.
Purchase Date:
LBTT rates change over time. The ADS increased from 6% to 8% on December 5, 2024. Always check for the most recent rates when purchasing Scottish property.
Frequently Asked Questions
What is LBTT and who pays it?
Land and Buildings Transaction Tax (LBTT) is a tax paid on property purchases in Scotland. The buyer pays LBTT when purchasing a residential or commercial property above certain thresholds. As of 2025, standard residential properties are taxed on values above £145,000.
How much is LBTT on a £300,000 house?
For a standard residential property at £300,000: no LBTT on first £145,000; 2% on £145,001-£250,000 (£2,100); 5% on £250,001-£300,000 (£2,500). Total LBTT: £4,600. First-time buyers pay £2,500 as they get relief up to £175,000.
Do first-time buyers pay LBTT in Scotland?
First-time buyers get relief with an increased nil rate band of £175,000 (compared to £145,000 for standard buyers). This means they pay no LBTT on the first £175,000 of the property price, saving up to £600 compared to standard buyers.
What is the Additional Dwelling Supplement (ADS)?
When buying an additional residential property (second home, buy-to-let) in Scotland for £40,000 or more, the Additional Dwelling Supplement is an 8% surcharge on the total purchase price, paid in addition to the standard LBTT. This increased from 6% to 8% on December 5, 2024.
When do I have to pay LBTT?
LBTT must be paid within 30 days of the effective date of the transaction (usually the date of settlement/completion). Your solicitor or conveyancer typically handles the payment and submits the LBTT return to Revenue Scotland on your behalf.
Can I get an LBTT refund?
You may be eligible for an ADS refund if you paid the additional property surcharge but later sold your previous main residence within 18 months. You must apply to Revenue Scotland for the refund within specified time limits.