LBTT: temporary increase in nil rate band

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9 July 2020

The Scottish Government today announced that the nil rate band for Land and Buildings Transaction Tax (LBTT) for residential property transactions will be temporarily increased from £145,000 to £250,000.

The change will be introduced as soon as possible - time is required for Scottish Government to prepare legislation and Revenue Scotland to enable the policy change. Once introduced, the change will remain in place until 31 March 2021.

Rates for the Additional Dwelling Supplement (ADS) and non-residential LBTT remain unchanged.

More information on LBTT is available on the Revenue Scotland website

If you have any questions, please contact Revenue Scotland by email: lbtt@revenue.scot



Additional Notes

Land and Buildings Transaction Tax (LBTT) replaced UK Stamp Duty Land Tax (SDLT) in Scotland from 1 April 2015.

LBTT is a tax applied to residential and commercial land and buildings transactions (including non-residential purchases and leases) where a chargeable interest is acquired.

Revenue Scotland is responsible for collecting and managing LBTT.

LBTT is a self-assessed tax. It is up to the taxpayer to ensure they meet the relevant repayment criteria. Practical and legislative guidance for working with LBTT is available on the Revenue Scotland website