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Stamp Duty Refund

Stamp Duty Refund

Stamp duty is a fee that is charged when you transfer property. It is often exacted on written documents that transfer the title of land and buildings. In essence, a stamp duty relates to housing property such as houses, apartments or sites with an arrangement to build. It is also due on non-residential property, for instance, land or housing sites without residential buildings.

However, stamp duty can also be a form of financial mis-selling. It could be either Incorrectly Charged or Overpaid Stamp Duty (SDLT). Thankfully, like all forms of mis-selling investments, you can reclaim money for mis-sold investments.

Getting A Stamp Duty Refund

You are eligible for a Stamp Duty refund that you have paid for once you have started building residential units on non-residential land. However, the maximum amount of refund you can claim is:

  • Eleven-fifteenths if you paid Stamp Duty at the rate of 7.5% and
  • Two-thirds of your paid Stamp Duty at the rate of 6%.

This refund scheme is provided for by Section 83D of the Stamp Duties Consolidation Act, 1999.

That said, with single residential units, it is important to claim a refund for curtilage that exceeds 0.4047 hectares (1 acre). The curtilage is the region around the house, like the gardens, paths and driveways.

Conditions for the refund

Like with all mis-sold financial products, there is a possibility to get a stamp duty refund. Here they are;

  • You must file a Stamp Duty return and pay Stamp Duty at the non-residential rate on the transfer. (There is a caveat, though. Written documents that are executed on or after 9 October 2019 require a Stamp Duty that is paid at the non-residential rate of 7.5%)
  • Possession of the receipt of a stamp certificate is mandatory
  • You are expected to have started building within 30 months of the transfer of the land to you.
  • A required proportion of the land must be built for residential purposes.
  • You are can only make your claim after you have started building
  • You have to make your claims for a stamp refund electronically.

Clawback

You will be expected to refund the Stamp Duty that was paid to you if:

  • you claimed a refund that you were not entitled to
  • you have not completed the building work within the indicated time
  • you fail to get the relevant ‘75% test’ on completion.

Although an incorrectly charged or overpaid stamp duty is different from mis-sold investment bonds, you could get a refund if you meet the conditions described in the article.

Contact us for a free case review

There are certain conditions you must meet if you want to get a stamp duty refund. Unfortunately, most people consider these bottlenecks too complicated to navigate, and end up waving their rights to a refund. If you’re in these shoes, you’ll be glad to know that we’re ready to do the work for you. Our solicitors are experts at helping you recover your money from stamp duties and also securing compensation for mis-sold pensions. Call us at 0800 060 8855 or check your eligibility right away by answering a few simple questions online.

We welcome your comments!