From 1 December 2003 Stamp Duty Land Tax replaced Stamp Duty. The new rules mean that homebuyers have a new responsibility to complete self-assessment tax forms within 30 days of purchase. The rules also apply to the purchase of commercial properties.
The forms must be with the Inland Revenue by the end of 30 days in order to avoid an automatic fine of £100.
Until now, the Inland Revenue has not been enforcing the fines if forms have been returned up to 40 days after purchase. This has now changed.
Our View
The Inland Revenue has commented 'failure to file a correct SDLT return on time will lead to an automatic fine of £100'. The onus here is on the word 'correct'.
It seems that if mistakes are made on a form submitted on time, the £100 fine could still be imposed. Whist it is early days, we are sure that conveyancers working on your behalf will complete these forms for you to sign and then submit them on your behalf. However, the onus is on the purchaser, not the conveyancer.