A Scottish tax
LBTT is administered by Revenue Scotland, not HMRC. Use Revenue Scotland's calculator, never an English Stamp Duty calculator.
Residential rates for 2026/27
| Price band | Rate |
|---|---|
| Up to £145,000 | 0% |
| £145,001 to £250,000 | 2% |
| £250,001 to £325,000 | 5% |
| £325,001 to £750,000 | 10% |
| Over £750,000 | 12% |
Why a bare plot is different
A bare plot of land, even one with planning permission for a house, isn't a dwelling. It's normally taxed at non-residential rates, which are nil on the first £150,000. If you buy a bare plot and appoint your own builder, the construction cost isn't subject to LBTT. The position is different if building work has already started on the plot when you buy it, or if the seller or a connected company will build the house for you, so take advice from your solicitor in those cases.
Buying a finished home for £600,000 as a residential transaction, at 2026/27 rates with no first-time buyer relief or ADS: LBTT of £33,350. Buying a bare plot for £110,000 taxed at non-residential rates: LBTT of nil. The difference in any real case depends on what is bought, the prices and the reliefs that apply, so check the actual transaction with your solicitor.
The Additional Dwelling Supplement
ADS is charged at 8% of the whole price where, at the end of the day of purchase, you own more than one dwelling and the new one costs £40,000 or more, unless you are replacing your main residence. Because a bare plot isn't a dwelling, ADS doesn't normally apply to it, even if you still own your current home.
If the plot includes an existing house you'll demolish or replace, residential rates and ADS may apply. Take specific advice from your solicitor before concluding missives.
Sources: Revenue Scotland: Land and Buildings Transaction Tax; Scottish Government: Scottish Budget 2026–27 tax rates. Last reviewed October 2026.
Questions
Do I pay LBTT on a self-build plot?
Yes, but a bare plot is normally taxed at non-residential rates, which are nil up to £150,000, so many plots attract little or no LBTT.
Does ADS apply to a self-build plot?
Not normally, because a bare plot isn't a dwelling. It can apply if the plot includes an existing house.
General guidance for Scotland, not legal, tax, financial or planning advice for your project. Rules change, so check current official guidance and take advice specific to your site before acting.
