Land Transaction Tax (LTT) Calculator

What Is Land Transaction Tax (LTT)?

Land Transaction Tax (LTT) is a tax you might have to pay when you buy or lease property or land over a certain price threshold in Wales. It replaced Wales's Stamp Duty Land Tax (SDLT) from 1 April 2018.

When Do You Have to Pay LTT?

LTT is usually payable in the following situations:

• Purchase of freehold property
• Purchase of new or existing leasehold
• Transfer of land or property in exchange for consideration.

LTT is a self-assessed tax. The taxpayer must complete and submit an accurate tax return and pay any tax due.

How & When Should I Send an LTT Return?

A buyer must send an LTT return to the Welsh Revenue Authority (WRA) and pay the tax within 30 days of the day after the completion (or other ‘effective date’ of the transaction). They are still required to send a return if they do not owe any LTT unless a specific exception applies.

What Are the Conditions When I Do Not Have to File an LTT Return?

You may be exempted from filing an LTT Return if:

• If you buy a freehold property for less than £40,000
• You inherit a property through a will and no payment is required for the transfer
• You get the property due to divorce or ending a civil partnership
• A new or assigned lease of 7 years or more if both the premium is less than £40,000 and the annual rent is less than £1,000

•  A new or assigned lease of 7 years or more if the amount you pay is less than the residential or non-residential LTT zero rate threshold

For more information you can visit our complete guide on Land Transaction Taxes.