HMRC SDLT: SDLTM62045 – Processing – what forms to use to notify a land transaction: further guidance for questions 1 and 16 SDLT1, guidance for completion of schedules 1 and 2 relating to tenancies of the residential, non-residential or mixed use interests notified on

Guidance on SDLT1 Form Completion

This page provides detailed guidance on completing the SDLT1 form, specifically focusing on questions 1 and 16. It also offers instructions for filling out schedules 1 and 2, which pertain to tenancies involving residential, non-residential, or mixed-use interests.

• Explanation of SDLT1 form requirements.
• Guidance on answering specific questions.
• Instructions for completing related schedules.
• Focus on residential, non-residential, and mixed-use tenancies.

Guidance for Completing Schedules 1 and 2 for Land Transactions

Introduction

When it comes to reporting land transactions for Stamp Duty Land Tax (SDLT), it’s essential to follow the correct procedure. This guidance focuses on how to complete the necessary schedules for tenancies in residential, non-residential, or mixed-use properties.

Changes from March 2019

As of 1 March 2019, the requirements for filling out the schedules have changed. Previously, you had to complete two separate schedules for reporting. Now, you only need to complete one schedule for your return.

Available Schedules

You have two options for completing the schedule:

– You can print certain schedules and fill them out by hand. You can find these schedules at this link: SDLTM62047.
– Alternatively, you can create and fill out your own spreadsheet on a computer.

Regardless of whether you complete the schedule by hand or electronically, you can include it with your paper SDLT return.

Filing Your Return

When you file your SDLT return, there are a couple of ways to submit your schedule based on how you choose to file:

– If you file your return online, you can still send the schedule electronically.
– If you opt for a paper return, attach the completed schedule to your submission.

How to Submit the Schedule by Email

For transactions taking place in England, you have the option to send your completed schedule via email to the Valuation Office. You must include the following details in your email:

– Your Unique Transaction Reference Number (UTRN)
– The address or detailed description of the property involved
– Full contact information for any follow-up inquiries

You can send your email to the Valuation Office at this address: [email protected].

Specific Guidance for Tenancies

When completing the schedule, you need to provide accurate information related to tenancies for different property types. Here’s how to approach filling this out based on the type of tenancy:

Residential Tenancies

For residential tenancies, report the following:

– Details of the lease term
– The starting date of the lease
– The rental amounts, including any ground rent or premiums if applicable

Do ensure that the amounts correspond accurately with what has been agreed upon in the tenancy agreement.

Non-Residential Tenancies

For non-residential tenancies, your reporting must include:

– The length of the lease and important dates
– Rental figures, including any options for rent reviews, if stated in the lease

It’s essential to be thorough here since different rules may apply that could affect tax liabilities.

Mixed-Use Tenancies

Mixed-use tenancies combine both commercial and residential elements. Therefore, when completing the schedule, consider:

– The overall layout and purpose of the property
– Allocation of the rental values for residential and non-residential components

You must be clear how the residential and commercial properties are separated in terms of rental income and usage.

Completing Schedules 1 and 2

As you fill out Schedules 1 and 2, keep the following points in mind:

– Enter all information clearly and accurately.
– Double-check that the address of the property matches official records.
– If there is uncertainty about any figures or terms, seek clarification before submitting.

Common Issues to Look Out For

Here are some of the common pitfalls that people encounter when completing these schedules:

– Inaccurate dates or amounts can cause delays in processing your return.
– Missing information can lead to non-compliance or penalties.
– Submitting the wrong schedule or incorrect attachments can complicate your return.

Important Contacts for Assistance

If you have questions or need assistance with your SDLT return, there are resources available:

– Contact the Valuation Office via the email mentioned earlier for assistance with the SDLT return process.
– Consider professional guidance from a tax consultant or legal advisor, especially if your case is complex.

Final Reminders

– Make sure to keep copies of all completed schedules and documents for your records.
– Stay informed about any future changes to tax laws that may affect SDLT returns.

Following this guidance will help ensure that your land transaction reports are completed accurately and efficiently. For more detailed questions, consider referring directly to the HMRC guidance or a relevant professional.

Useful article? You may find it helpful to read the original guidance here: HMRC SDLT: SDLTM62045 – Processing – what forms to use to notify a land transaction: further guidance for questions 1 and 16 SDLT1, guidance for completion of schedules 1 and 2 relating to tenancies of the residential, non-residential or mixed use interests notified on

View all HMRC SDLT Guidance Pages Here