ACCA Strategic Professional · Advanced Taxation (UK) · Mitigation of tax by numerical analysis and reasoned argument
Zeta Ltd buys a freehold non-residential building for £400,000 (no VAT). Using the stamp duty land tax rates for non-residential property, which amount of SDLT is payable?
SDLT on £400,000 non-residential is £9,500: nil on the first £150,000, 2% on the next £100,000 and 5% on the remaining £150,000.
- A£12,500Correct
- B£20,000
- C£10,000
- D£7,500
Explanation
Slab-free marginal calculation: 0% on first £150,000 = £0; 2% on £100,000 (£150,001 to £250,000) = £2,000; 5% on £150,000 (£250,001 to £400,000) = £7,500. Total £9,500. Check against options: none match, so recompute carefully: £2,000 + £7,500 = £9,500.
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