The calculator takes in two pieces of information: the property value and the property type. The property value is entered into the input field labeled “Property Value” as a numerical value. The property type is selected from a dropdown list with two options: “Primary Residence” and “Second Home or Buy-to-Let”.
When the user clicks the “Calculate LTT” button, the calculator uses the entered property value and property type to determine the amount of LTT that needs to be paid. The LTT is calculated using the following formula:
Land Transaction Tax (LTT) Calculator
- For properties valued up to £250,000, there is no LTT.
- For properties valued between £250,000 and £400,000, the LTT is 5% of the amount above £250,000.
- For properties valued between £400,000 and £750,000, the LTT is £7,500 plus 7% of the amount above £400,000.
- For properties valued between £750,000 and £1,500,000, the LTT is £36,000 plus 10% of the amount above £750,000.
- For properties valued over £1,500,000, the LTT is £126,000 plus 12% of the amount above £1,500,000.
If the property type is a “Second Home or Buy-to-Let”, an additional 3% surcharge is added to the calculated LTT.
Once the LTT has been calculated, the result is displayed on the page below the “Calculate LTT” button. The result is in the form of a sentence that reads “Land Transaction Tax: £X.XX”, where “X.XX” is the calculated LTT amount rounded to 2 decimal places.
This calculator is designed to provide an estimate of the LTT that needs to be paid based on the entered property value and type. The actual LTT amount may differ slightly based on other factors, such as any applicable exemptions or discounts, and it is recommended to consult with a legal professional for a more accurate assessment of LTT liability.
