An individual was liable to SDLT where an assignment of a property purchase contract was made to a company, notwithstanding that the company paid SDLT on the purchase following an assignment of the contract and relief would have been available to the individual but was not claimed.
An individual (GG) entered into a contract to purchase a property in London on 19 April 2018 for £1,450,000. The completion date was 24 May 2018. A company (GGL) was incorporated, with GG as the sole shareholder and director. On 31 May 2018, GG assigned the purchase contract to GGL, which completed the purchase on 5 June 2018. GGL submitted an SDLT return and paid stamp duty land tax (SDLT) of £132,250. On 5 December 2018, GGL’s SDLT return was amended, and multiple dwellings relief (MDR) was claimed. Following a subsequent enquiry, HM Revenue and Customs (HMRC) refused the MDR claim on the basis that the contract had been substantially performed on 20