Scotland's Additional Dwelling Supplement (ADS) 2026: the 8% Surcharge
If you're buying a second home or buy-to-let in Scotland, the Additional Dwelling Supplement (ADS) is usually the biggest line on the bill — bigger than the LBTT itself. At 8% of the whole price, it dwarfs England's 5% surcharge. Here's exactly how it works.
What ADS is and how much it costs
ADS is a surcharge added on top of standard Land and Buildings Transaction Tax when, at the end of the transaction, you own more than one residential property and aren't replacing your main home. Key facts:
- The rate is 8% (it rose from 6% to 8% on 5 December 2024).
- It's charged on the entire purchase price — a flat 8%, not a banded calculation.
- It only applies where the property costs £40,000 or more.
- Properties you own anywhere in the world count when deciding if this is an "additional" dwelling.
Worked example: £250,000 second home
On a £250,000 additional property in Scotland:
| Component | Amount |
|---|---|
| Standard LBTT (0% to £145k, 2% to £250k) | £2,100 |
| ADS (8% of £250,000) | £20,000 |
| Total | £22,100 |
The ADS alone (£20,000) is almost ten times the LBTT (£2,100) — which is why second-home buyers in Scotland feel it so sharply.
Getting ADS back: the 18-month rule
If you're buying a new main home but haven't sold the old one yet, you'll pay ADS upfront because you temporarily own two homes. You can reclaim it if you sell your previous main residence within 18 months of the new purchase. (Note this is shorter than England's 36-month window.) Claims are made to Revenue Scotland, usually via an amended LBTT return.
Scotland vs England: Scotland's 8% ADS on the whole price is significantly harsher than England's 5% additional-property surcharge (which is banded). On a £250,000 purchase, Scotland's surcharge is £20,000 versus £12,500 in England — worth modelling before you buy across the border.
Calculate your Scottish LBTT + ADS
Enter your price and buyer type for an instant LBTT figure, including the 8% Additional Dwelling Supplement.
Try the Scotland LBTT Calculator →Frequently asked questions
What is ADS?
An 8% surcharge on additional residential properties in Scotland, on top of LBTT.
How much is it?
8% of the whole price (since 5 December 2024), for properties £40,000+.
Can I reclaim it?
Yes, if you sell your previous main home within 18 months of the new purchase.
Stamp duty across the UK
- Scotland — LBTT guide · calculator
- England & NI — SDLT surcharges · calculator
- Wales — LTT guide · calculator
Compare all three in the UK stamp duty hub.
Sources
- Revenue Scotland — Additional Dwelling Supplement (rate, £40,000 threshold, repayment)
- gov.scot — Scottish Budget: ADS rate 8% from 5 December 2024
Figures as of June 2026. Rates and rules change at Scottish Budgets — verify on revenue.scot before exchanging. General information, not regulated financial advice (FCA).
Cite this article
Randive, A. (2026). Scotland's Additional Dwelling Supplement (ADS) 2026: the 8% LBTT Surcharge. DecisionsCalc. https://decisionscalc.com/articles/scotland-lbtt-additional-dwelling-supplement/