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HMRC internal manual

Stamp Duty Land Tax Manual

Calculation of stamp duty land tax: Rent: Rate thresholds: Example 2

A residential lease is granted on 1 June 2008 for consideration consisting only of rent. The net present value of the rent payable is £145,350.

As the relevant rental value of the lease (£145,350) exceeds the residential threshold of £125,000, stamp duty land tax (SDLT) is due at a rate of 1% on the excess over £125,000:

£145,350 – £125,000 = £20,350

x 1% = £203.00 SDLT due, rounded down to the nearest pound.