Stamp duty land tax - 3% higher rates for additional dwellings repayments

The measure

The time limit for claiming a repayment of the 3% higher rate of stamp duty land tax (SDLT) for additional dwellings will be extended for individuals who pay it on the purchase of a new property which they intend to be used as a main residence, and who sell their previous main residence within three years of that purchase.

Under the new rules, a repayment claim will need to be made on or before the later of:

• 12 months of the sale of the previous main residence (previously three months), or
• 12 months of the filing date of the SDLT return for the new residence, on which the 3% higher rate for additional dwelling was paid.

Who will be affected?

Individuals seeking a refund of the higher rate of SDLT for additional dwellings.

When will the measure come into effect?

The time limit changes will apply where the effective date of sale of the old home is on or after 29 October 2017.