SDLT ― administration

Produced by Tolley in association with Grant Thornton's stamp taxes team
SDLT ― administration

The following Corporation Tax guidance note Produced 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
  • Interest and penalties
  • Late filing
  • Incorrect returns
  • Amendment of return
  • More...

From 1 April 2015, the Land and Buildings Transaction Tax (LBTT) applies to land transactions in Scotland. For details of LBTT, see Sergeant and Sims on Stamp Taxes AA12–AA22 (SSSD, AA[AA351]–SSSD, AA[AA851]). See also the Revenue Scotland website.

From 1 April 2018, Land Transaction Tax (LTT) applies to land transactions in Wales. For details of LTT, see SSSD, AA[AA901] – SSSD, AA[AA2101]. See also the Welsh Government website.

Whilst the underlying rules applying to LBTT, LTT and SDLT are broadly similar in nature, the taxes are not identical. The rest of this guidance note covers the law that applies to transactions in England and Northern Ireland.

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:

  1. the grant / surrender / assignment of a lease in respect of a lease with a term of less than seven years

  2. 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.

Filing and payment deadline

The deadline for submitting a land transaction return and paying the SDLT is

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