HMRC not refunding higher rate stamp duty

cognis0

When we bought our current house at the end of 2022 we were unable to sell our then main residence, so we had to let it out temporarily. This meant that we were caught for higher rate stamp duty (additional 3%) on our purchase.

In January this year we sold our former main residence and I applied for the repayment of the higher rate stamp duty that we paid (clearly I was well within the 3 year limit). HMRC replied fairly quickly and disagreed with the figure I had calculated. I replied with a very clear calculation explaining why their figure (considerably less) was wrong.

I have not heard from HMRC since then (more than 3 months), despite a chasing letter. What should I do now?

Recently HMRC charged me interest on unpaid tax following a tax return despite not having told me that I owed them anything. In view of the current high interest rates perhaps I should go for a Small Claims Action and seek interest on the unpaid refund? 

Keep_pedalling

If would help if you told us what the disputed figures are and how you calculated them, 

cognis0

Keep_pedalling said:

If would help if you told us what the disputed figures are and how you calculated them, 

I will do that, but I don't have the figures to hand at the moment. But I'm not seeking advice on how to do the calculation, and I am very confident that I have this correct (and I know where HMRC have erred). The issue is HMRC not responding to my communication with them...

Dazed_and_C0nfused

cognis0 said:

Keep_pedalling said:

If would help if you told us what the disputed figures are and how you calculated them, 

I will do that, but I don't have the figures to hand at the moment. But I'm not seeking advice on how to do the calculation, and I am very confident that I have this correct (and I know where HMRC have erred). The issue is HMRC not responding to my communication with them...

Maybe a different thread title would have been better then as the one you have used suggests your query is a totally different one!

HMRC not refunding higher rate stamp duty

As far as HMRC responses are concerned (where its not something that has been automated) then a year isn't an unusual period to wait nowadays.

And they do pay interest in certain situations.

https://www.gov.uk/government/publications/rates-and-allowances-hmrc-interest-rates-for-late-and-early-payments/rates-and-allowances-hmrc-interest-rates#income-tax-national-insurance-contributions-capital-gains-tax-stamp-duty-land-tax-stamp-duty-stamp-duty-reserve-tax-from-1-october-1999-and-vat-for-periods-starting-on-or-after-1-january-2023

mybestattempt

To chase up the SDLT refund phone HMRC on 0300 200 3510; perhaps the annex you refer to in another thread is an issue here?

Assuming the return was a personal self assessment return you will have self assessed the tax you have underpaid so effectively you have told HMRC of the amount due.

Although I suspect your comment was tongue in cheek for the record you cannot use the small claims court for proceedings against HMRC or any other government department.

cognis0

Dazed_and_C0nfused said:

cognis0 said:

Keep_pedalling said:

If would help if you told us what the disputed figures are and how you calculated them, 

I will do that, but I don't have the figures to hand at the moment. But I'm not seeking advice on how to do the calculation, and I am very confident that I have this correct (and I know where HMRC have erred). The issue is HMRC not responding to my communication with them...

Maybe a different thread title would have been better then as the one you have used suggests your query is a totally different one!

HMRC not refunding higher rate stamp duty

As far as HMRC responses are concerned (where its not something that has been automated) then a year isn't an unusual period to wait nowadays.

And they do pay interest in certain situations.

https://www.gov.uk/government/publications/rates-and-allowances-hmrc-interest-rates-for-late-and-early-payments/rates-and-allowances-hmrc-interest-rates#income-tax-national-insurance-contributions-capital-gains-tax-stamp-duty-land-tax-stamp-duty-stamp-duty-reserve-tax-from-1-october-1999-and-vat-for-periods-starting-on-or-after-1-january-2023

Okay, thanks for that info. I had a similar situation in 2021 when I made a claim for over-paid SDLT, and they paid within weeks without any question..

cognis0

mybestattempt said:

To chase up the SDLT refund phone HMRC on 0300 200 3510; perhaps the annex you refer to in another thread is an issue here?

Assuming the return was a personal self assessment return you will have self assessed the tax you have underpaid so effectively you have told HMRC of the amount due.

Although I suspect your comment was tongue in cheek for the record you cannot use the small claims court for proceedings against HMRC or any other government department.

Thank you, I will call that number. Yes the annex is the issue HMRC. I will reply fully to @Keep_pedalling which will clarify... (yes, tongue in cheek)