Calculating SDLT Overlap Relief - The Complexities Unravelled

Introduction

Understanding and correctly applying the Stamp Duty Land Tax (SDLT) legislation is a complex area for tax practitioners and property lawyers. Failure to calculate SDLT correctly can result in a number of issues, including financial penalties for the client and protracted correspondence with HMRC.

Calculating SDLT overlap relief on rents, typically available where a tenant surrenders its lease and takes a fresh lease from the same landlord, can be particularly tricky.

HMRC’s SDLT calculator is unable to cope with calculating the Net Present Value of the rents payable under the new lease, taking into account relief for the overlap period. Therefore, the calculation needs to be performed manually.

This virtual classroom seminar will outline the SDLT legislation which applies to overlap relief and will include worked examples of how the relief is calculated.

What You Will Learn

This live and interactive session will cover the following:

• The relevant SDLT legislation and the circumstances in which SDLT overlap relief is available
• The transactions for which overlap relief on rents is given, in addition to lease surrenders and regrants
• Practical guidance on the necessary calculations, with examples
• How to complete the SDLT returns to claim the relief

Recording of live sessions: Soon after the Learn Live session has taken place you will be able to go back and access the recording - should you wish to revisit the material discussed.