Glossary · UK

What is Mixed-Use Relief (SDLT)?

Lower, non-residential Stamp Duty Land Tax rates applied when a purchase includes both residential and commercial elements.

Full Definition

Mixed-use relief applies the lower, non-residential Stamp Duty Land Tax rate bands (rather than the higher residential rates) to a property purchase that includes both a residential and a non-residential element, such as a flat above a shop bought as a single transaction. Because non-residential SDLT rates are generally lower and don't carry the additional-property or non-resident surcharges that apply to residential purchases, this treatment can produce a materially lower bill — which has also made it a target for HMRC scrutiny where buyers have overstated a minor commercial element purely to access the relief.