Stamp duty on house including annex – more complex?

Stamp duty on house including annex – more complex?

10:27 AM, 8th June 2021, About 3 years ago 3

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Hello, I have just had my offer accepted on a 3-bed end of terrace property that includes an attached 1-bed annex. My solicitor tells me to talk to my accountant for the stamp duty calculation as homes with an annex can be more complex.

This is my 8th buy to let, so I know of the extra stamp duty applicable, but why is this any different?

I have tried my accountant and two others, and they each told me they are not qualified to advise me!

Any advice welcome,

Thank you.


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Neil Patterson

10:34 AM, 8th June 2021, About 3 years ago

From the FT Advisor >>

I think the complication is considering does the annex count for Multiple Dwellings relief.

"A tribunal has dismissed an argument that a main house and annex were both suitable for use as a single dwelling and qualified for stamp duty land tax (SDLT) relief for multiple dwellings"

"In an appeals case concluded in April 2020 the first tier tribunal ruled against two individuals who wanted to claim back £10,000 in stamp duty from HM Revenue & Customs on the grounds that they had bought multiple dwellings."

Christopher Marsden

12:31 PM, 8th June 2021, About 3 years ago

Hi albeit I am a landlord my fairly recent experience was with the purchase of a home in 2017. The stamp duty should have been £27k but part of the house was a separate annex with its own entrance, bathroom, kitchen and could be locked away from the house. Our solicitor advised that we would be able to claim a reduction in the stamp duty of £10k and in the final transaction she completed all the paperwork necessary and we paid £17k in the end. I do not know whether this condition still applies or whether a buy to let purchase would change this situation.

Ian Narbeth

15:12 PM, 8th June 2021, About 3 years ago


Please contact me at referring to this post and I can put you in touch with a specialist accountant.

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