Property Tax Calculators
Our comprehensive suite of property tax calculators helps you understand and plan for all UK property-related taxes. Calculate stamp duty land tax, income tax on rental properties, capital gains tax, and inheritance tax implications. Stay compliant and optimize your tax position with accurate, up-to-date calculations based on current HMRC rates and regulations.
Available Tax Calculators
Stamp Duty Land Tax Calculator
Calculate SDLT for residential properties, buy-to-let investments, and second homes with current rates and reliefs.
- First-time buyer relief up to £425,000
- Additional property 3% surcharge
- Non-UK resident 2% surcharge
- Mixed-use property calculations
Rental Income Tax Calculator
Calculate income tax on rental profits including Section 24 mortgage interest restrictions and allowable expenses.
- Section 24 mortgage interest relief
- Allowable expense deductions
- Property income allowance
- Furnished holiday lettings
Capital Gains Tax Calculator
Calculate CGT on property disposals with current rates, allowances, and available reliefs.
- Annual CGT allowance (£6,000)
- 18% and 24% residential rates
- Principal private residence relief
- Business asset disposal relief
Inheritance Tax Calculator
Calculate potential IHT liability on property estates with nil-rate bands and residence relief.
- Nil-rate band (£325,000)
- Residence nil-rate band (£175,000)
- Spouse exemptions
- Business and agricultural reliefs
Professional Features
Up-to-Date Rates
Latest tax rates and thresholds updated for 2024/25 tax year including all recent HMRC changes
Detailed Breakdowns
Clear explanation of calculations with step-by-step breakdown of tax bands and reliefs applied
Tax Planning
Strategic tools for optimizing your tax position and maximizing available reliefs and allowances
Professional Reports
Export detailed calculations for your records, accountant, or HMRC submissions
Understanding UK Property Taxes
Property taxation in the UK involves multiple taxes at different stages of ownership. Understanding these taxes is crucial for making informed property investment decisions and ensuring compliance with HMRC requirements.
Purchase Stage
Stamp Duty Land Tax (SDLT) - Paid when purchasing property. Rates vary based on property value, buyer status, and property type. First-time buyers receive relief up to £425,000.
Ownership Stage
Income Tax on Rental Income - Landlords pay income tax on rental profits. Section 24 restrictions limit mortgage interest relief to basic rate tax credit.
Sale Stage
Capital Gains Tax (CGT) - Paid on profits from property sales. Rates are 18% for basic rate taxpayers and 24% for higher rate taxpayers on residential property.
Estate Planning
Inheritance Tax (IHT) - May apply to property in estates over £325,000. Residence nil-rate band provides additional relief for main homes passed to direct descendants.
Frequently Asked Questions
Common questions about property-related taxes
How is stamp duty calculated on residential properties?
Stamp duty is calculated using a tiered system. For example, you pay 0% on the first £250,000, 5% on the portion between £250,001-£925,000, 10% on £925,001-£1.5m, and 12% above £1.5m. First-time buyers have relief up to £425,000. Buy-to-let and second homes incur a 3% surcharge on all bands.
What tax relief is available for landlords?
Landlords can claim tax relief on allowable expenses including maintenance costs, insurance, letting agent fees, and utility bills (if included in rent). Mortgage interest relief is now restricted to the basic rate of tax (20%) and is given as a tax reduction rather than a deduction from rental income. The property allowance of £1,000 is also available for small landlords.
How is capital gains tax calculated on property sales?
Capital gains tax on property is charged at 18% for basic rate taxpayers and 28% for higher rate taxpayers. You can deduct your annual CGT allowance (£12,300 for 2023/24), certain costs like improvements and selling expenses, and potentially claim reliefs like Private Residence Relief if you've lived in the property.
What are the tax implications of buying through a limited company?
Limited companies pay corporation tax (currently 25% for profits over £50,000) instead of income tax on rental profits. They can still deduct mortgage interest as a business expense. However, extracting profits through dividends incurs additional tax, and purchases through companies pay the 3% stamp duty surcharge. Setup and running costs should also be considered.
When do I need to pay stamp duty after purchasing?
Stamp duty must be paid within 14 days of completing the property purchase. Your solicitor usually handles this payment, but you're legally responsible for ensuring it's paid. Late payment can result in penalties and interest charges. The exact amount should be calculated and ready before completion to avoid delays.
Can I claim tax relief on property improvements?
For rental properties, you can claim tax relief on repairs and maintenance but not improvements. However, improvement costs can be offset against capital gains tax when you sell. For capital gains purposes, improvements that enhance the property's value (like extensions or new kitchens) can be deducted from your gain, while repairs that restore the property to its original condition cannot.
How does the property allowance work for small landlords?
The property allowance provides £1,000 of tax-free rental income per year. If your total rental income is £1,000 or less, you don't need to pay tax or report it. If it's more than £1,000, you can either deduct the £1,000 allowance from your rental income or claim actual expenses - whichever is more beneficial. You cannot claim both.
What happens if I inherit a property?
Inherited property receives a 'stepped-up basis' for capital gains tax purposes, meaning your acquisition cost is the property's value at the date of death, not what the deceased originally paid. This can significantly reduce capital gains tax if you later sell. However, the estate may be liable for inheritance tax if it exceeds the nil-rate band thresholds.