When you buy or transfer land or property, or take on a lease, you usually need to notify HM Revenue and Customs (HMRC). You do this by completing a Stamp Duty Land Tax (SDLT) return, also known as a Land Transaction Return.
If you don’t file the return and pay any tax due by the filing deadline - which is 30 days after the effective date of the transaction - a penalty and late payment interest charges will apply.
If you have received a penalty notice from HMRC that you wish to challenge you may be able to appeal against it. This guide explains when and how you can do this.
On this page:
You can appeal against a penalty if you couldn't file your SDLT return by the deadline because of an unusual event that is either unforeseeable or beyond your control. HMRC will only accept that you had a reasonable excuse for not meeting the deadline if this event prevented you from either:
HMRC will accept that you have a reasonable excuse if:
You must be able to show that you've done everything you can to file your return as soon as possible.
HMRC won't accept that you had a reasonable excuse for not filing your SDLT return on time if whatever happened didn't prevent you from dealing with all your other affairs too. And they won't accept you had a reasonable excuse if you tell them that:
You can appeal either by letter or by completing form SDLT 46 - Notice of Appeal Stamp Duty Land Tax. You can download a copy of the form along with guidance notes by following the link at the end of this section.
You do this either by letter or by completing form SDLT 46 - Notice of Appeal Stamp Duty Land Tax. You can download a copy of the form along with guidance notes by following the link at the end of this section.
Most appeals are settled at this stage by reaching an agreement with HMRC.
You must send your appeal within 30 days of the date of the original penalty notice to:
Penalties Appeals Section
Birmingham Stamp Office
City Centre House
30 Union Street
If you are unable to settle the appeal with HMRC there are options available for you to have the decision reviewed by HMRC or heard by an independent tribunal.
For further information on how to appeal against an HMRC decision and the options available to you if you and HMRC are unable to agree follow the link below.
You can pay the penalty even if you're appealing against it. If you don't pay and you lose your appeal, you'll have to pay interest on the late payment of the penalty. If your appeal succeeds, HMRC will repay the penalty with interest.