Work or pleasure?

Andrew Evans explores the differences between SDLT and the new Welsh LTT when determining whether grounds and gardens are for residential or commercial use

The stamp duty land tax (SDLT) and the new Welsh land transaction tax (LTT) regimes apply different rates of stamp duty on residential and commercial property. Properties that have a mixture of residential and commercial use, for example a shop with flats above, are treated as mixed use transactions and qualify for the commercial rates of stamp duty. Difficulty applying the correct rates can arise when dealing with the acquisition of country estates, comprising a large house and varying amounts of land.