SDLT - administration

By Tolley in association with Grant Thornton's stamp taxes team
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The following Corporation Tax guidance note by Tolley in association with Grant Thornton's stamp taxes team provides comprehensive and up to date tax information covering:

  • SDLT - administration
  • Is the transaction notifiable?
  • Filing and payment deadline
  • SDLT returns
  • Who is the purchaser?
  • Interest and penalties
  • Amendment of return
  • Duty to keep records
  • Enquiries
  • HMRC determination
  • Discovery assessments
  • Reviews and appeals

Note

For land in Scotland, from 1 April 2015 SDLT has been replaced by a new Scottish tax called Land and Buildings Transactions Tax (LBTT). The legislation for this is primarily contained in the Land and Buildings Transaction Tax (Scotland) Act 2013 (subscription sensitive). See the Revenue Scotland website  for further details.

Is the transaction notifiable?

The general rule is that a land transaction return should be submitted to HMRC where the chargeable consideration for the acquisition (other than rent) is £40,000 or more. Where the transaction is the grant of a lease of seven years or more, notification is also required if the annual rent is £1,000 or greater.

There are some instances where there is no requirement to submit a land transaction return. These include the following:

  • the grant / surrender / assignment of a lease in respect of a lease with a term of less than seven years
  • an acquisition of property interests other than a major interest, eg options, rights over land, easements, etc

These exceptions do not apply where there is SDLT chargeable at a rate of 1% or more, or would be but for a relief.

There is also a requirement to submit a land transaction return where the anti-avoidance provisions of FA 2003, ss 44A or 75A apply. See the Stamp duty land tax - basic rules guidance note for further details in relation to section 75A. The provisions of section 44A determine the SDLT treatment in situations where a contract provides for the conveyance of an interest in land to a third party.

FA 2003, ss 77 and 77A
Filing and payment deadline

The deadline for submitting a land transaction return and paying

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