Stamp Duty Land Tax

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Refunds of Stamp Duty Land Tax

You may be able to get a refund of Stamp Duty Land Tax (SDLT) if, for example:

  • you paid the higher rates of SDLT on the purchase of a new main home but you’ve sold your previous main home
  • you were not resident in the UK and paid a surcharge to purchase residential property in England or Northern Ireland but are now ‘a UK resident’ for the purposes of SDLT
  • you’re eligible for a relief or exemption which you did not claim in your original SDLT return
  • you paid the residential property rates of SDLT but you should have paid the non-residential rates
  • you made a mistake in calculating the amount of SDLT due on your original SDLT return, meaning you have overpaid
  • you calculated the correct amount of SDLT on your return, but have paid too much to HM Revenue and Customs (HMRC) in error

How to claim a refund

You must include all purchasers on the claim if there’s more than one.

If you paid an agent to claim for you, you are still responsible for checking whether your claim is correct. You will still have to repay the refund in full, along with any interest or penalties due, if the claim your agent made is wrong.

Apply for a refund of the higher rates of SDLT on the purchase of a new main home when you’ve sold your previous main home

You’ll usually have to pay 5% on top of the normal SDLT rates if buying a new residential property means you’ll own more than one.

You can apply for a refund of the extra 5% SDLT if both of the following apply:

  • the property you’re buying is replacing your main residence
  • your previous main residence was sold within 36 months of completing your new purchase

If it takes longer than 36 months to sell your previous main home you may still be able to get a refund of the extra 5% SDLT if all of the following apply:

  • you purchased your new home on or after 1 January 2017
  • exceptional circumstances stopped you from selling your old home, for example government imposed restrictions or a public authority blocking the sale
  • you have now sold your old home

Find out more about what is considered an exceptional circumstance and how to apply.

Apply for a refund if you were not resident in the UK and paid a surcharge to purchase residential property in England or Northern Ireland but are now ‘a UK resident’ for the purposes of SDLT

You’ll usually pay a 2% surcharge if both of the following apply:

  • you’re buying a residential property 
  • you’re not a UK resident on the date of completion of the purchase

You can claim a refund of the 2% surcharge if you were present in the UK for at least 183 days (6 months) in a continuous 365 day period within the year before the date of completion and the year after.

Example

Your purchase date was 12 October 2022. You were present in the UK for 3 months from 1 September 2022 to 30 November 2023. You then left the UK but returned for 3 months from 1 May 2023 to 31 July 2023. You were present in the UK for 183 days (6 months) within a continuous 365 day period so you may be entitled to a refund of the 2% surcharge.

You can only claim a refund as an individual buyer not as a company.

Check the rules on who has to pay the surcharge, when you do not have to pay, and if you can claim a refund.

Other ways to claim

There’s a different way to claim if:

  • you’re eligible for a relief or exemption which you did not claim in your original SDLT return
  • you paid the residential property rates of SDLT but you should have paid the non-residential rates
  • you made a mistake in calculating the amount of SDLT due on your original SDLT return, meaning you have overpaid
  • you calculated the correct amount of SDLT on your return, but have paid too much to HMRC in error

Apply for a refund online.

If you cannot apply online, you can apply for a refund by post.

Find out more about amending a return and applying for a refund.

How you will get your refund

HMRC will usually make the payment directly into your bank account within 15 working days of receiving your claim. 

HMRC may contact you by post if they need further information. 

After paying a refund, HMRC may find that your claim is wrong. If that happens, you must repay the refund in full along with any interest due. 

You may also be charged a penalty.

View a printable version of the whole guide

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