STSM013040 - Introduction to Stamp Duty on shares and Stamp Duty Reserve Tax (SDRT): Stamp duty rates: Stamp Duty - rounding up

FA99/S112 (1) (b) requires that Stamp Duty is 鈥渞ounded up (if necessary) to the nearest multiple of 拢5鈥�. This means that unless the figure arrived at by applying the Stamp Duty rate is an exact multiple of 拢5 it is rounded up.

For example, a consideration of 拢2,000 dutiable at a rate of 0.5% attracts duty of exactly 拢10. Consideration of 拢2,001 attracts duty of 拢10.005 which is rounded up to 拢15. The fact that .005 of a pound does not exist in coinage does not mean that it is ignored. To do so would be to round down, for which there is no statutory authority.

This rounding up provision applies irrespective of the rate of duty that is applied.