Stamp Duty for Agricultural Land

SDLT in agriculture raises questions since different SDLT rates apply to residential, non-residential, and mixed-use properties. As a result, if you purchase agricultural land that also includes residential or mixed-use structures, different SDLT rates may apply.

When requesting an exemption or applying for relief, it is critical to understand what constitutes agricultural land or property.

Examples of land and properties that potentially qualify for relief include:

• Farm buildings, cottages, and farmhouses.

• Land utilised for crop cultivation.

• Land that is not farmed under the habitat scheme.

• Land that is not being cultivated under the crop rotation program.
  

As an example, if you acquire a farm with a farmhouse, the farmhouse itself will be classified as residential, but the surrounding commercial buildings and farmland will be classified as non-residential. In these circumstances, the SDLT will be computed using the mixed-use property rate, which is usually lower than the residential rate and can result in tax savings.

Navigate Stamp Duty on farm land with Mirador Advisory's expert advice to optimise your tax liability.