Often referred to as Stamp Duty, or SDLT, Stamp Duty Land Tax is a self-assessed tax paid by buyers of property in the UK based on that property’s value, as well as other, less well-understood factors. Introduced in 2003 as a replacement for the old Stamp Duty - tax on documents – it has been one of the most often adjusted and amended pieces of tax legislation on the UK statute books ever since.
The complexity and propensity for change in the SDLT legislation have combined to ensure that SDLT is also one of the least-understood taxes, particularly by those most directly effected by it, namely buyers and their solicitors, who are most often charged with completing the SDLT return on behalf of their clients.
Added to this, HMRC’s own SDLT calculators, provided on their websites, are not tailored to take account of all the variables which may affect the amount of SDLT due on a transaction. Indeed, in 2018 HMRC were forced to clarify to a national newspaper reporting on these facts that the calculators are intended merely as ‘a guide’.
All this means that mistakes are common – as many as one in five SDLT returns may be incorrectly completed, leading to millions of pounds in overpaid SDLT to HMRC every year. This can be because of missed reliefs based on the circumstances of the buyer, misclassification of the property being bought or any one of the more than thirty exemptions in the legislation being missed by the solicitor completing the SDLT return.
As an investor (either a company or individual) acquiring additional residential property which does not replace your main residence, or who has acquired a residential property on a Buy To Let basis, you would normally be subject to higher rate transactional tax, or 3% Loading on your SDLT, also known as the ‘3% surcharge’.
HOWEVER, if you:
Then it’s likely you were incorrectly assessed for SDLT and be entitled to a refund for overpayment.
Finding out if you have a claim and moving forward with it couldn’t be simpler. Contact us by completing the form below or phone, or email us and one of our expert advisers will contact you within an hour to assess your situation and determine whether or not you are owed money.
We operate on a no claim, no fee basis, and in the event that a claim exists, we will handle it on your behalf for a transparent, fixed fee.
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Please have a look at our most frequently asked questions. If you can't find the answers you're looking for then please contact one of our tax advisers by phone 03333 050954 or email email@example.com.
Reduce your stamp duty liability by thousands