Who pays stamp duty, the buyer or the seller?
The buyer pays Stamp Duty Land Tax in the UK. The seller never pays SDLT on a property sale, only the buyer is liable, and the obligation arises within 14 days of completion.
Last reviewed 16 May 2026.
The legal position
Under the Finance Act 2003, the liability for SDLT falls on the purchaser. The seller has no SDLT obligation on the sale itself. This is the opposite of how stamp duty works in some other countries (Australia, parts of the US), so buyers moving to the UK occasionally ask which side of the transaction pays.
Who counts as the buyer
The "buyer" for SDLT is whoever takes the legal interest in the property on completion. Practical situations:
- Joint buyers: both buyers are jointly and severally liable for the SDLT, but only one return is filed for the transaction.
- Buying for a child: if you buy the property and a child lives there, you are still the buyer for SDLT. The fact that a child benefits does not change who is liable.
- Limited company: the company is the buyer. Directors are not personally liable unless they have given a personal guarantee or the company fails to pay.
- Trustees: the trustees collectively are the buyer. Beneficiaries are not liable.
How and when the buyer pays
The conveyancer handles SDLT on completion as part of standard practice. The buyer transfers completion funds (purchase price minus mortgage advance, plus SDLT, plus the conveyancer's fees and Land Registry costs) to the conveyancer in advance. The conveyancer then pays HMRC and files the SDLT1 return within 14 days.
If the buyer fails to provide the funds, the conveyancer cannot complete the transaction. SDLT is therefore almost always paid on the day of completion in practice, well within the 14-day deadline.
What if the buyer does not pay?
Legal responsibility remains with the buyer even though the conveyancer files the return. If HMRC determines that too little SDLT was paid, for example, because FTB relief was claimed incorrectly, the buyer receives the demand, not the conveyancer. Interest accrues from the original deadline and penalties apply for late returns.
Are there exceptions where the seller pays?
No. Even in distressed sales, repossessions, or transactions between connected parties, SDLT is a buyer's tax. What can vary is who funds the SDLT economically, for example, a developer may contribute to the buyer's costs as part of a sale incentive, but the legal liability is always the buyer's.