Our clients asked us to advise on the correct treatment of their property purchase for Stamp Duty Land Tax (SDLT) purposes. We advised that the property had mixed-use and therefore should be subject to the non-residential rates of SDLT, which at the time of the transaction gave a more favourable tax outcome than residential rates.
HMRC enquired into the Return filed by the solicitor. UHY Ross Brooke provided evidence to support the classification.
HMRC has confirmed their agreement with our view that the property was mixed-use, and the non-residential rates were correctly applied.
“A reclassification to residential rates would have cost our client thousands in extra tax, and so we, and our client, are very pleased HMRC agreed with our view of the transaction. Anyone in doubt about the correct classification of a property for any tax purpose, should take professional advice as there are many small details that can impact the end result.” said Phil Kinzett-Evans, Tax Director in our Newbury office.
Our clients said: “We must thank you for your help in this matter, we are very pleased that we were able to present the evidence convincingly.”
Next steps
If you are wondering whether your purchase could be subject to SDLT refund then please do get in touch with Phil Kinzett-Evans by telephone 01635 555 666 or email p.kinzett-evans@uhy-rossbrooke.com.
Our Stamp Duty tax advisers will review your position briefly and advise whether we can help, following which we will draft detailed advice for a tax reclaim to be made.
Find out more about Stamp Duty Land Tax and how we have helped other clients.
