Stamp Duty Refunds
Stamp Duty Land Tax (SDLT) is payable on all property purchases in England and Northern Ireland. The rates are levied according to the price of the property, and stamp duty tax calculators are freely available online.
Stamp Duty Refunds
There are some exemptions and mitigations of SDLT, and in some cases, you may be eligible for a refund of your Stamp Duty.
If you are seeking advice on reclaiming SDLT, or require support in making a claim from the HMRC, at Cannon Chambers we offer expert advice on all areas of property tax law. Offering consultations via video, phone or face-to-face, we provide direct access services to clients anywhere in the country.
For more information or to make an appointment, contact Cannon Chambers here.
Can You Reclaim Stamp Duty?
You can reclaim overpaid SDLT after the purchase of your property, but there are time limits, and only specific circumstances where you may be eligible.
Who Is Eligible for a Stamp Duty Refund?
If you sell your original or main home
Stamp Duty rates carry an additional 3% charge on the purchase of a second home. However, if you subsequently sell your previous main residence within three years, you will be able to reclaim that 3% extra charge if your second home was intended to be the replacement for your old main residence.
Shared-ownership first-time buyers
If you were a first-time buyer, and bought a shared-ownership home worth no more than £500,000, you may be able to claim a refund on the SDLT that you paid if you did not claim the relief. This only applies to homes bought after 22 November 2017.
If you bought a property with an annexe
If you did not claim for multiple dwellings relief you may be eligible to claim a refund of some of the stamp duty you paid on the purchase if you claim within 12 months.
Find out more about SDLT reliefs with this guide on multiple dwelling reliefs.
You have bought an uninhabitable building
Buyers who purchase an uninhabitable dwelling with a view to renovating it as a buy-to-let or second home do not have to pay the 3% second home surcharge or the higher Table A residential rates. If you have been overcharged on such a property, you may make a claim for a refund.
How Do I Claim a Stamp Duty Refund?
You can apply for SDLT refunds directly via the government website for main residence replacements, or in other cases by contacting HMRC. In most cases, you have 12 months after payment of the Stamp Duty or the disposal of the old main residence to claim a refund.
Stamp duty can be complex, for example, if you have purchased more than one property, bought as part of a linked transaction, or bought a dwelling within a multi-use property.
Buyers should be wary of companies offering to claim your refund on a no-win, no-fee basis.
If you are in any doubt as to whether you are eligible for a refund on your SDLT, you are advised to speak to a specialist tax lawyer.
How Long Does it Take For HMRC to Refund Stamp Duty?
HMRC aim to process claims within 15- 21 days and respond to your Stamp Duty refund application.
How Can Cannon Chambers Help?
At Cannon Chambers we have extensive knowledge of the complexities and changes in Stamp Duty Land Tax and all related aspects of property law. No matter what your enquiry about claiming a refund, you can expect clear, accessible advice and no-nonsense representation in your correspondence with HMRC.
The Cannon Chambers tax set offers video consultations as well as face-to-face appointments, giving clients the flexibility to benefit from our services without the need for travel.
For more information or to instruct a barrister in your SDLT claim case, contact Cannon Chambers here.
Other SDLT Areas Cannon Chambers Advises On:
Frequently Asked Questions About Stamp Duty Refunds
Yes – most first time buyers get stamp duty relief if the property is bought for no more than the threshold (£500,000)
Yes, but only if:
- You have mistakenly paid a higher rate on a property with an annexe.
- You paid the 3% surcharge for an additional home and can prove that it was uninhabitable at the time of purchase.
- You have sold your original residence within three years of buying the second home as a main residence replacement.
Yes – but only if your buy-to-let can be demonstrably shown to have been uninhabitable at time of purchase.