Mineral rights on an SDLT return: what the old paper question meant
In brief
HMRC’s historic guidance says that SDLT paper forms asked whether minerals or mineral rights were reserved or excluded from a sale.
- Older paper forms used two-digit mineral codes.
- HMRC says the question changed to Yes or No from 1 March 2019.
- Look for clear wording in the title and sale documents.
Scroll down for the full analysis.
Read the original guidance here:
Mineral rights on an SDLT return: what the old paper question meant
Mineral rights on an SDLT return: what the old paper question meant
If a property title says that coal, sand, oil or other minerals are kept out of the sale, HMRC’s old paper SDLT forms asked you to record that fact. This was a form question about stamp duty information. The manual does not say that it changes your stamp duty bill.
What this rule is about
Land can be sold without every right beneath it. For example, an owner may reserve coal or other minerals. An owner may also exclude mineral rights from what is being sold.
That can sound alarming. Usually, it is a title note. It records rights that do not pass with the property.
The question appeared on the paper SDLT3 and SDLT4 forms. Those were extra forms used with an SDLT return in some circumstances. The main legislation requires anyone submitting an SDLT return, whatever the transaction’s particular circumstances may be, to use the prescribed form and include the prescribed information in it. That is the statutory requirement.
What the official source says
HMRC’s manual says that the old question was question 7 on paper SDLT3 and question 6 on paper SDLT4. When an owner reserved minerals or mineral rights, filers entered a two-digit code on the old form. When no one reserved them, filers left the field blank.
- Code 01 meant more than one listed type of mineral.
- Coal had code 13; oil had code 25; peat had code 26.
- Sand had code 29, while sand and gravel had code 30.
- Code 36 meant another mineral not separately listed by HMRC.
From 1 March 2019, rather than asking filers to choose a code, HMRC asked whether an owner reserved or excluded any minerals or mineral rights on the form. The available answers were Yes and No.
- The later question covered both rights reserved and rights excluded.
- HMRC says a code was no longer needed.
- HMRC says the question only covered matters that were easily discoverable.
- Examples given by HMRC are a clear note on the title or a term of the sale.
This is HMRC’s guidance on completing its forms. It is not the law itself. The manual does not create a separate tax charge for mineral rights.
What this means in practice
Start with the papers for the property. Age, area, and nearby mining prove nothing.
What actually matters for this form point? Ask whether the title or sale documents clearly show that an owner reserved or excluded minerals or mineral rights.
- Read the property register and any wording it refers to.
- Check the transfer and contract for mineral clauses.
- Record Yes on the later form question if a relevant reservation or exclusion is clear.
- For an old paper form, use HMRC’s code list where a code was required.
Filers left the old field blank only when no relevant minerals or mineral rights had been reserved. It did not mean that someone had investigated every possible historic mining right.
How to analyse it
Work through the documents in a simple order. The point is to report what is clear from the deal, not to turn the SDLT form into a full investigation of land below the property.
- Identify which SDLT form and version applied at the time.
- Find the title entries, contract and transfer for the property.
- Look for express wording about minerals, mines, coal, oil, sand or similar rights.
- Decide whether the wording says the rights are reserved or excluded.
- Check whether that wording is easy to find in the title or terms of sale.
- Use Yes or No for the post-1 March 2019 question described by HMRC.
Keep a copy of the wording used to answer the question. It shows why the filer gave that answer if it is later queried.
Example
Amir buys a house. The registered title clearly says that coal and mining rights are reserved to another owner. On the form described by HMRC from 1 March 2019, the answer would be Yes. On the earlier paper version, coal was code 13.
Change one fact: the title and sale papers contain no clear reference to minerals or mineral rights. HMRC’s old guidance says to leave the earlier code field blank. The later question would be answered No on the information available.
Why this can be difficult in practice
The documents usually cause the difficulty. Old titles can point to earlier deeds, and when a brief entry depends on those deeds’ wording, you may not understand it until you read them. Read them.
You might think any mining history means the answer must be Yes. HMRC’s manual does not say that. Its stated focus is on reservations and exclusions that are easily discoverable.
- A warning about past mining is not necessarily a reservation of mineral rights.
- A title may refer to an older deed that contains the important wording.
- Rights over land beside the property may not describe rights reserved from the property itself.
- The manual does not explain whether a mineral clause affects the amount of SDLT due.
If you only remember one thing, make it this: answer the form from the clear title and sale wording, not from assumptions about what may lie underground.
Key takeaways
- HMRC’s old paper forms asked about reserved mineral rights.
- From 1 March 2019, HMRC described a Yes or No question instead of mineral codes.
- Check the current form before using historic paper-form guidance.
Technical analysis
For advisers, and for anyone who wants to check the law behind this page. You do not need this section to understand the guidance above.
Legislation
- FA 2003 section 76 — duty to deliver a land transaction return
- FA 2003 Schedule 10 para 1 — prescribed form and information for SDLT returns
Official guidance
The pages below are HMRC’s guidance. Guidance is not law. It sets out how HMRC reads the legislation, and it is not binding on you, on a tribunal or on a court. Where guidance and the legislation differ, the legislation wins. HMRC can also change or withdraw guidance, and it may not cover your facts.
Where this is not settled
- The source does not explain the legal effect of a mineral reservation or exclusion on the price, ownership or SDLT calculation.
- The current SDLT form and current HMRC process should be checked before relying on this historic paper-form guidance.
Evidence you would need
This kind of case is decided on the facts of the individual property. These are the records that usually settle it, and the ones an adviser would ask you for.
- The registered title and title plan
- The transfer, contract and any title documents referred to in them
- Wording showing whether minerals or mineral rights are reserved or excluded
- The SDLT form and HMRC instructions that applied when the return was made
Explore this with an AI
Readers often want to test their own situation. Copy the prompt below into ChatGPT, Claude or Gemini. It hands the model the actual legislation for this page rather than letting it answer from memory, and tells it to be explicit about what is uncertain. What comes back is information, not advice – check it against the links above.
I am researching UK Stamp Duty Land Tax (SDLT), which applies in England and Northern Ireland. MY QUESTION Mineral rights on an SDLT return: what the old paper question meant [Replace this with your own situation: what you are buying, the price, the dates, who the buyer is, and what you plan to do with the property.] THE LAW THIS TURNS ON - FA 2003 section 76 - duty to deliver a land transaction return https://www.legislation.gov.uk/ukpga/2003/14/section/76/2025-11-17 - FA 2003 Schedule 10 para 1 - prescribed form and information for SDLT returns https://www.legislation.gov.uk/ukpga/2003/14/schedule/10/paragraph/1/2025-11-17 HMRC's guidance page on this topic (guidance, not law): https://www.gov.uk/hmrc-internal-manuals/stamp-duty-land-tax-manual/sdltm62770 HOW I WANT YOU TO ANSWER 1. Work from the legislation above. Read it before answering. HMRC guidance is HMRC's view of the law, not the law, and does not bind a tribunal or a court. 2. Tell me what the rule actually requires, in plain English. 3. Tell me which facts decide the answer, and which facts would change it. 4. Tell me what evidence I would need to support the position. 5. Be explicit about anything unsettled or fact-sensitive. Do not guess. 6. Your training data has a cutoff and SDLT rates and reliefs change at fiscal events. Say so if you are not sure the law is current. POINTS ALREADY KNOWN TO BE UNCERTAIN ON THIS TOPIC - The source does not explain the legal effect of a mineral reservation or exclusion on the price, ownership or SDLT calculation. - The current SDLT form and current HMRC process should be checked before relying on this historic paper-form guidance. Do not give me a conclusion you cannot support from the provisions above.
Legislation links show Finance Act 2003 as it stood on 2025-11-17. The law may have changed since, and the rules that apply are those in force on the date of your transaction. The official guidance this page is based on is here.
This page was last updated on 1 September 2026
Useful article? You may find it helpful to read the original guidance here: Mineral rights on an SDLT return: what the old paper question meant
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