An 'LTR' charge after purchasing home? English please.

B0bbyEwing

Relative of mine recently purchased a house with their partner. Tonight I'm being asked about some LTR charge they've been hit with.

Read the letter & I don't have a clue.

I never got hit with such a thing when I bought my house. Having said that, the person who handled my house purchase was a tip-top guy whereas the person they've had dealing with their purchase has seemed quite clueless & just not interested at all. Whether that's contributed via an error on their part, or not, I don't know.



Just wondering if someone could shed light on why they'd be hit with such a charge? 

They've contacted the person who dealt with them but they've not responded as of yet.

Interestingly, the name on the paperwork is for my relatives partner & not my relative yet when they go in to their online banking for the bank who they took the mortgage out with (they already had an account with that bank) - both names are listed.

p00hsticks

It's a fine from HMRC for late filing of the Stamp Duty return on the house purchase - something that is usually done by the conveyancer handling the purchase for them. They need to go back to them and suggest they pay the fine (or appeal against it).

Funnily enough, there has been another threead on exactly the same topic today here

https://forums.moneysavingexpert.com/discussion/6413797/land-transaction-return-sdlt-late-filing-penalty#latest

Cedartree123

Seem to recall a recent similar thread on this topic. Assuming solicitors have been used, essentially they have dropped the ball and submitted Stamp Duty or some associated forms late. Get the solicitors to pay the penalty https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/799537/Penalties_for_late_Land_Transaction_return__SD7__guide.pdf

TBG01

The stamp duty submission wasn't submitted within 14 days of the transaction completing, so your relative is now being hit with a fine.

Solicitor should bare the cost though.

B0bbyEwing

Thanks for the responses. I'll pass on the info. 

The keys were handed over early December I think it was. 

Could it be.... As Royal Mail haven't bothered working since about October, the postal issue caused this? 

Or is that unlikely & it's totally their solicitor not being on the ball?



Edit to add..... 

Any idea why relative never received a copy of this letter / it didn't have both their names on it? 
As I say, when they access their online banking it shows the mortgage balance with both names on it so I assume that means it's been taken out in both their names, even though their agreement is one pays the mortgage (the one that received this letter) & the other seems to pay the remaining bills. 

user1977

B0bbyEwing said:

Could it be.... As Royal Mail haven't bothered working since about October, the postal issue caused this? 

Or is that unlikely & it's totally their solicitor not being on the ball?

The latter, as I'd expect the return to have been submitted online.

Any idea why relative never received a copy of this letter / it didn't have both their names on it? 

Probably just gets sent to the "lead" name on the SDLT return. Doesn't matter. HMRC don't know/care about their mortgage.

Responses in bold above.

theartfullodger

Pleased to see HMRC pursuing those who've been avoiding tax.  The country needs the money!

nyermen

Suspect this is due to the post not delivering within 14 days.  Seems a bit harsh, unless there are other ways to inform IR than post.

Is there any future detriment to being "fined" by IR?  I only ask because if they pay just to clear it (or have the conveyancer do so), then would there be a future bearing of some form? (I appreciate its not like the tax evasion flag but just wondering).

user1977

nyermen said:

Suspect this is due to the post not delivering within 14 days.  Seems a bit harsh, unless there are other ways to inform IR than post.

See my response above - although it can be submitted by post, I would expect any conveyancers to be submitting the return online.

Is there any future detriment to being "fined" by IR?

Not in the slightest. It's not a fine for a criminal offence or anything like that.

See responses inline above (also note it hasn't been the Inland Revenue for almost 20 years!).

nyermen

Thanks, sorry maybe I'm a bit naive, for the OP, i was thinking if post was only option, then Conveyencer may have an excuse, if online is also an option, then much less so for not using it with well known postal strikes.

Ofc this assumes its the post thats the issue.

B0bbyEwing

I think it boils down to this solicitor was useless. 

They made such a deal over the Lifetime ISA, confusing how it works. Not being funny but it isn't as though they've only just come out 5mins ago.

Anyway, I told them they should contact the solicitor via email, not the phone, so that there's a trail of everything. The solicitor is now "looking in to it".

They'll probably take a month to do that & then there'll be a late payment of the fine fee.