Stamp Duty is a tax levied on properties costing more than £125,000 in the UK. It is the purchaser who pays this tax. In Scotland it is known as a Land and Buildings Transaction tax. It is a banded tax which used to go up to 3% of the excess purchase price. Nowadays the calculation has changed where the slice between £125,001 and £250,000 would be taxed at 2% and the excess tax over £250,001 would be at 5%. It is viewed as an unfair tax which serves to slow down the property market as it’s an extra amount a buyer has to find before they can acquire a property.