SDLTM50940 - Procedure

Deferring payment in case of contingent or uncertain consideration FA03/S90: Terms of acceptance

If the application to defer the payment of tax is accepted, the notice of acceptance must set out the terms of acceptance and specify the amount of tax payable in connection with the initial land transaction return, the dates of relevant events and how tax is to be calculated on those dates.

Each payment must be accompanied by a return.

A return submitted under this section is treated as a land transaction return to which all the rules under FA03/SCH10 apply. The return must be in writing and include a self-assessment of the tax chargeable in respect of the transaction as a whole on the basis of information contained in the return.

The provisions for the return are set out in the stamp duty land tax (Administration) Regulations SI2003/2837.

Payments are to be made on the dates specified and accompanied by a return, until all the tax has been paid. When each payment and return is made the consideration for the whole transaction will have to be considered to ensure the correct rate of tax is paid.

If less tax is payable on a transaction due to changes in consideration payable the amount of tax overpaid shall on a claim by the purchaser be repaid together with interest as from the date of payment.

An application that has been accepted by HM Revenue & Customs shall have no effect if it contains false information or any facts or circumstances relevant to it are not disclosed to HM Revenue & Customs.

An application will cease to have effect if the facts and circumstances relevant to it change.

Any return should be sent to the Stamp Office which dealt with the application to defer payment and not to the Central Processing Office.