Commons Sense

House of Commons · Written Ministerial Statement

Higher Rates of Stamp Duty Land Tax: three-year refund window

03 June 2020 · Treasury

Proposed by Jesse Norman Con Hereford and South Herefordshire

Taxation

Summarised by AI from the official record, so it can contain mistakes.

View on Parliament.uk

At a glance

Key points

  • HMRC will extend the three-year window for SDLT refunds for those unable to sell due to lockdown restrictions.
  • Exceptional circumstances must be beyond individuals' control for the extension to apply.
  • HMRC will make case-by-case decisions and issue operational guidance for this extension.

Issue summary

The statement addresses an issue with the three-year window for refunding higher rates of Stamp Duty Land Tax (SDLT) due to restrictions on property transactions during lockdown.

Action requested

HMRC will extend the three-year window for SDLT refunds in cases where individuals were unable to sell their previous main residence due to exceptional circumstances beyond their control, with operational guidance and case-by-case decisions to be made by HMRC. Taxpayers must make a sale as soon as possible once such impediments are resolved.

Key facts

  • More than 450,000 people have been unable to progress with property transactions since March due to lockdown restrictions.
  • The Government has lifted some housing market restrictions following updated regulations on 13 May 2020.
  • An extension of the three-year window for SDLT refunds will be granted by HMRC in specific cases if exceptional circumstances prevented a sale within the original timeframe.
  • This amendment applies to those whose refund window ended on or after 1 January 2020.
▸ Assessment & feedback
Summary accuracy