Buying land to build a house on and sell

[Kocduwp]

I am buying a side garden to a house with permission to build a new house for £110,000. Is stamp duty due on the purchase or is it classed as a commercial transaction that doesn't attracted SDLT.

It seems likely that the property counts as "residential" for SDLT, but not as a dwelling. The starting point for SDLT on residential property is normally £125K, so no SDLT due in your case. You are not worried about the possibility of the higher rates of SDLT for additional dwellings which starts at £40K as you are not buying a dwelling.

If for any reason the property counted as non residential property then there is still no SDLT as the starting point there is £150,000.

But a land transaction return will need to be made as the price is over £40,000