Layla, a first-time buyer, purchases her first home in England for £450,000 after 1 April 2025. First-time buyer relief gives 0 percent up to £300,000 and 5 percent on the portion from £300,001 to £500,000. How much SDLT is payable?
Answer and explanation
Correct answer: D. £7,500
- Step 1: The portion up to £300,000 is charged at 0 percent, so nothing is due on it.
- Step 2: The remaining £150,000 is charged at 5 percent, which is £7,500.
Answer
£7,500.
Why not the others: £12,500 is the figure without the relief; £22,500 is 5 percent of the whole price; relief does not remove all tax on a £450,000 purchase.
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