SDLT and stamp duty on rent that includes services
Archived HMRC example
This page does not contain its former example about lease rent and services. It directs readers to SDLTM11015 instead.
- The archive notice gives no calculation.
- Lease wording and payment details matter.
- Rent has its own SDLT calculation method.
Scroll down for the full analysis.
Read the original guidance here:
SDLT and stamp duty on rent that includes services
The page offers neither answer nor calculation. HMRC has archived this page and says that its third example has moved elsewhere; this matters because service costs in a lease can affect the stamp duty calculation on rent. Service costs can affect the calculation.
What this rule is about
When you take a lease, SDLT, usually called stamp duty land tax, can apply, and the law uses the rent due over the lease term after converting it into a present-day value. The calculation keeps rent separate from any upfront price.
What the official source says
The supplied HMRC page contains only a short archive notice and directs readers to SDLTM11015 for Example 3, instead of giving figures, facts, or a conclusion about rent that includes services. No calculation appears there.
- The page is an archived HMRC manual page.
- It says Example 3 has moved to SDLTM11015.
- It does not state a rule for service payments.
What this means in practice
Do not treat the archive notice as an answer for your lease, because you need the replacement example and the actual lease wording before you can assess what the payments mean. A heading saying rent includes services settles nothing by itself.
- Keep the lease and any payment schedule.
- Separate rent from other stated payments where the documents do so.
How to analyse it
Begin with the papers rather than the label used on an invoice. Identify every amount that the lease requires you to pay. Use rent’s net present value for the legal calculation.
- Read the rent clause carefully.
- Check what services the payment covers.
- Find the amount and timing of each payment.
Example
You cannot safely give a worked example from this archived page. The page supplies no rent figure, service cost, lease term or result. Consult the moved HMRC page before reproducing its example.
Why this can be difficult in practice
Although leases often bundle several payments into one monthly sum and make the paperwork look simpler than it is, the important point remains what the lease requires you to pay, and why. Ask why each payment is due.
- An invoice description may not match the lease terms.
- A single payment can cover more than one item.
Key takeaways
- This HMRC page is only an archive notice.
- It contains no usable Example 3 calculation.
- Check the replacement guidance and the lease documents.
Technical analysis
For advisers, and for anyone who wants to check the law behind this page. You do not need this section to understand the guidance above.
Legislation
- FA 2003 section 56 — rent is calculated under schedule 5
- FA 2003 Schedule 5 para 1 — leases with rent fall within the rent calculation rules
- FA 2003 Schedule 5 para 2 — tax on rent uses its net present value
Official guidance
The pages below are HMRC’s guidance. Guidance is not law. It sets out how HMRC reads the legislation, and it is not binding on you, on a tribunal or on a court. Where guidance and the legislation differ, the legislation wins. HMRC can also change or withdraw guidance, and it may not cover your facts.
Where this is not settled
- The archived page alone does not show the facts or conclusion of the moved example.
- It is not possible to confirm from this page whether a particular services payment forms part of the rent calculation.
Evidence you would need
This kind of case is decided on the facts of the individual property. These are the records that usually settle it, and the ones an adviser would ask you for.
- The current replacement guidance at SDLTM11015
- The signed lease and any service-charge schedule
- A breakdown of rent and service payments
- The lease start date, term and payment dates
Explore this with an AI
Readers often want to test their own situation. Copy the prompt below into ChatGPT, Claude or Gemini. It hands the model the actual legislation for this page rather than letting it answer from memory, and tells it to be explicit about what is uncertain. What comes back is information, not advice – check it against the links above.
I am researching UK Stamp Duty Land Tax (SDLT), which applies in England and Northern Ireland. MY QUESTION SDLT and stamp duty on rent that includes services [Replace this with your own situation: what you are buying, the price, the dates, who the buyer is, and what you plan to do with the property.] THE LAW THIS TURNS ON - FA 2003 section 56 - rent is calculated under schedule 5 https://www.legislation.gov.uk/ukpga/2003/14/section/56/2025-11-17 - FA 2003 Schedule 5 para 1 - leases with rent fall within the rent calculation rules https://www.legislation.gov.uk/ukpga/2003/14/schedule/5/paragraph/1/2025-11-17 - FA 2003 Schedule 5 para 2 - tax on rent uses its net present value https://www.legislation.gov.uk/ukpga/2003/14/schedule/5/paragraph/2/2025-11-17 Guidance page from HMRC on this topic (guidance, not law): https://www.gov.uk/hmrc-internal-manuals/stamp-duty-land-tax-manual/sdltm11030 HOW I WANT YOU TO ANSWER 1. Work from the legislation above. Read it before answering. Guidance from HMRC is its view of the law, not the law, and does not bind a tribunal or a court. 2. Tell me what the rule actually requires, in plain English. 3. Tell me which facts decide the answer, and which facts would change it. 4. Tell me what evidence I would need to support the position. 5. Be explicit about anything unsettled or fact-sensitive. Do not guess. 6. Your training data has a cutoff and SDLT rates and reliefs change at fiscal events. Say so if you are not sure the law is current. POINTS ALREADY KNOWN TO BE UNCERTAIN ON THIS TOPIC - The archived page alone does not show the facts or conclusion of the moved example. - It is not possible to confirm from this page whether a particular services payment forms part of the rent calculation. Do not give me a conclusion you cannot support from the provisions above.
Legislation links show Finance Act 2003 as it stood on 2025-11-17. The law may have changed since, and the rules that apply are those in force on the date of your transaction. The official guidance this page is based on is here.
This page was last updated on 1 September 2026
Useful article? You may find it helpful to read the original guidance here: SDLT and stamp duty on rent that includes services
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