Stamp duty land tax is a modernised form of stamp duty.
The objectives of stamp duty land tax are to ensure fairness,
to support the Government’s e- business agenda, in particular
the Introduction of paperless electronic conveyancing, and to
update the legal framework of stamp duty, bringing it in line with
more modern taxes.
Stamp duty land tax is effective from 1 December 2003.
Stamp duty land tax is a process now, check later system with
modernised compliance powers and rights of appeal, in line with
those for Income Tax and Corporation Tax. See
SDLTM80000+.
The tax is limited to the acquisition of land situated in the
UK, the boundary being the low water mark of every part of the UK
which borders the sea.
It does not extend to the bed of the territorial sea but
piers, jetties and similar structures, with one end attached to the
UK, do comprise part of the UK.
Stamp duty land tax is chargeable on the acquisition of a
chargeable interest whether or not evidenced in writing. If a
contract is substantially performed before formal completion the
charge arises at the time of substantial performance.
Provided the land acquired is in the United Kingdom the tax
is chargeable wherever the transaction is effected and whatever the
residence of the parties.
SDLTM00200+ provides detailed guidance
on chargeable transactions.
