Does SDLT first time buyer exemption apply to buying land?

jasperm

Hello All,

I am hoping to listen to advice with regards to the question in the title - as a first time buyer, if I purchase a plot of land (currently no residential dwelling on said land) will I be eligible to be exempt from the stamp duty as if it were a house?
Land would be in England.

Many thanks in advance,

Jasper

AnotherJoe

I beleive its property only. There's another thread running on this currently.

davidmcn

AnotherJoe wrote: »

I believe its property only.

Residential property only. Everything else has the commercial rates of SDLT applied to it (so, still zero if the consideration is £150k or less). Also note that (for so long as it remains non-residential) it doesn't count for the purposes of the SDLT surcharge for additional residential properties.

eddddy

The HMRC Stamp Duty Land Tax Relief for first time buyers guidance note says:

Broadly, this relief applies where:

• there is a purchase of a single dwelling,

....

"Dwelling" takes its ordinary meaning in the context of SDLT subject to some differences. The meaning of dwelling includes a building or part of a building that is used or suitable for use as a single dwelling, or is in the process of being constructed or adapted for use as a dwelling.

Follow link at: https://www.gov.uk/government/publications/stamp-duty-land-tax-relief-for-first-time-buyers-guidance-note

So it fairly clearly doesn't apply to land - as land is not a dwelling.

SDLT_Geek

There must be a "dwelling" for the relief to apply. That does not have to be a completed dwelling; a building in the course of construction can still be a dwelling. A plot of land, even with planning permission, will not count as a dwelling unless work has started and got far enough.

The plot could count for SDLT purposes as non-residential property (for example if it is part of a farmer's field) or as residential property (for example if it is now someone's garden) depending on the circumstances.

Not all "residential property" counts as a "dwelling".