What is land transaction tax in Wales?
Answered 11 March 2026
Based on the retrieved sources, here is a comprehensive answer:
Land Transaction Tax (LTT) in Wales
What the law says
Land Transaction Tax (LTT) is a Wales-only devolved tax established by the Land Transaction Tax and Anti-avoidance of Devolved Taxes (Wales) Act 2017. It replaced Stamp Duty Land Tax (SDLT) for land transactions in Wales from 1 April 2018.
Where a transaction involves land that straddles the England/Wales border, UK legislation (Finance Act 2003, s.48A) provides that the transaction is treated as two separate transactions — one for the land in England (subject to SDLT) and one for the land in Wales (subject to LTT). The consideration must be apportioned between the two on a just and reasonable basis.
HMRC guidance / practice
HMRC confirms that SDLT does not apply to land or buildings located in Wales. Instead, LTT applies to the purchase of land in Wales on or after 1 April 2018.
LTT is administered by the Welsh Revenue Authority (WRA) / Awdurdod Cyllid Cymru, which is the Welsh Government department responsible for its collection and administration under the Tax Collection and Management (Wales) Act 2016. For further detail on LTT rates and rules, HMRC directs users to the Welsh Government website.
Note: LTT is a devolved Welsh tax and falls outside HMRC's jurisdiction. The detailed rules on rates, reliefs, and returns are set by the Welsh Government and administered by the WRA — not HMRC. For full details, consult the Welsh Government LTT guidance.
Citation sources
From April 2015 SDLT will no longer apply to land transactions in Scotland. These will instead be subject to Land and Buildings Transaction Tax. Please see the Revenue Scotland website @ From April 2018 SDLT has been replaced in Wales by Land Transaction Tax. Please see the Welsh Government website http://gov.wales/funding/fiscal-reform/welsh-taxes/land-transaction-tax/?lang=en
Stamp Duty Land Tax (SDLT) is paid on the acquisition of land and buildings over a certain price in England and Northern Ireland. More information on SDLT is available in the Stamp Duty Land Tax Manual. SDLT does not apply if the land or buildings acquired is/are located in Scotland or Wales: You pay Land and Buildings Transaction Tax if you purchase land in Scotland on or after 1 April 2015. You pay Land Transaction Tax if you purchase land in Wales on or after 1 April 2018.
summary 1. This case concerns Land Transaction Tax ('LTT'), which is a Wales-only devolved tax falling within the competence of the Wales Government. 2. LTT came into effect on 1 April 2018 in place of Stamp Duty Land Tax. LTT is provided for by the Land Transaction Tax and Anti-Avoidance of Devolved Taxes (Wales) Act 2017 ('the 2017 Act'). 3. Pursuant to the Tax Collection and Management (Wales) Act 2016, Welsh Revenue Authority/Awdurdod Cyllid Cymru ('WRA') is the department of Wales Governmen
Part 4 Stamp duty land tax Chargeable interests, chargeable transactions and chargeable consideration Interests, transactions and consideration where land in England and Wales 48A 1 This section sets out how this Part applies to a transaction which is the acquisition of— a an estate, interest, right or power in or over land, or b the benefit of an obligation, restriction or condition affecting the value of any such estate, interest, right or power, where the land is partly in England and partly
Stamp Duty Land Tax (SDLT) is paid on the acquisition of land and buildings over a certain price in England and Northern Ireland. More information on SDLT is available in the Stamp Duty Land Tax Manual. SDLT does not apply if the land or building(s) acquired is/are located in Scotland or Wales: You pay Land and Buildings Transaction Tax if you purchase land in Scotland on or after 1 April 2015 You pay Land Transaction Tax if you purchase land in Wales on or after 1 April 2018