Glossary · UK
What is Land Transaction Tax (LTT)?
Wales's equivalent of Stamp Duty Land Tax, administered by the Welsh Revenue Authority, with different rate bands applying to residential and non-residential property.
Full Definition
Land Transaction Tax (LTT) is the devolved property transaction tax in Wales, replacing Stamp Duty Land Tax (SDLT) for Welsh property transactions since 1 April 2018. It is administered by the Welsh Revenue Authority (WRA) rather than HMRC. Residential LTT rates for 2026/27: 0% on the first GBP 225,000; 6% on GBP 225,001 to GBP 400,000; 7.5% on GBP 400,001 to GBP 750,000; 10% on GBP 750,001 to GBP 1,500,000; 12% above GBP 1,500,000. First-time buyers in Wales do not receive a separate relief -- the main threshold of GBP 225,000 provides an equivalent benefit for most first-time purchases. Higher residential rates apply to additional dwellings (second homes, buy-to-let): a 4 percentage point surcharge is added to each band. Non-residential LTT rates: 0% up to GBP 225,000; 1% on GBP 225,001 to GBP 250,000; 5% on GBP 250,001 to GBP 1,000,000; 6% above GBP 1,000,000. Mixed-use properties use non-residential rates. LTT returns must be filed and paid within 30 days of completion. The WRA also administers Landfill Disposals Tax. Scottish property transactions use Land and Buildings Transaction Tax (LBTT), which is also different from both LTT and SDLT.