THE PROPERTY FILTER TAKE
HMRC's updated guidance confirms six distinct grounds for reclaiming SDLT, including a 3-year window for buyers who paid the higher rates surcharge before selling their previous main home
Buyers who paid the higher rates surcharge on additional dwellings since October 2024 and have since sold their previous home may be owed thousands; on a £350,000 purchase, the 5% surcharge element alone totals £17,500
If any of the six grounds apply to a transaction you have made, consider reviewing your original SDLT return and speaking to your accountant before the claim window closes
If you have paid Stamp Duty Land Tax (SDLT) on a property purchase in England or Northern Ireland, you may be owed money back. HMRC's updated guidance, published 26 June 2026, sets out six distinct grounds for claiming a refund - and strict deadlines that, if missed, mean the money is gone for good.
SDLT applies in England and Northern Ireland only. Scotland uses Land and Buildings Transaction Tax (LBTT). Wales uses Land Transaction Tax (LTT). This article covers SDLT only.
Six grounds for an SDLT refund
HMRC confirms you can apply for a refund if any of the following apply to your transaction, according to GOV.UK guidance:
You paid the higher rates on a new main home but have since sold your previous main residence.
You paid the 2% non-resident surcharge but have since become UK resident for SDLT purposes.
You were eligible for a relief or exemption - such as first-time buyer relief - but did not claim it on your original return.
You paid residential rates but should have paid non-residential rates.
You made a calculation error that resulted in overpayment.
You calculated the correct amount but transferred too much to HMRC in error.
Each ground has its own claim route and deadline. They are not interchangeable. Property investors with multiple transactions may find reviewing past purchases against these grounds worthwhile.
The most common claim: higher rates on additional dwellings
The most frequently applicable ground is the first one. If you bought a new property while still owning your previous main home, you will have paid the higher rates surcharge. Once you sell the old property, you can claim the surcharge back.
The window is strict. You must sell your previous main home within 3 years of buying the new one to qualify. After you have sold it, your claim must be submitted within 12 months of whichever is later: the date of that sale, or the filing date of your original SDLT return, per GOV.UK.
The worked example that matters: Say you purchased a property for £350,000 in November 2024, before completing the sale of your previous home. The higher rates surcharge of 5 percentage points applies across the full purchase price on purchases on or after 31 October 2024, per GOV.UK. On £350,000, that surcharge element totals £17,500 (5% × £350,000). Sell the old property within 3 years, submit your claim in time, and that £17,500 comes back. Use our stamp duty calculator to check the exact figure on your own transaction.
Applications for higher rates refunds are made via an online form on GOV.UK. Agents can also submit the form on behalf of clients.
Other grounds: non-residents, unclaimed reliefs, and overpayments
Non-resident surcharge
If you paid the 2% non-resident surcharge but subsequently met the UK residency test - present in the UK for at least 183 days in any continuous 365-day period within the relevant window - you can apply for a refund. You claim by amending your original SDLT return. You have 2 years from the effective date of the transaction to do so, per GOV.UK.
Unclaimed reliefs
If you were eligible for a relief but did not claim it on your original return, you may be able to amend that return within the standard amendment period. First-time buyer relief, certain mixed-use reliefs, and other exemptions fall into this category. If you are unsure whether a relief applied to a past transaction, speak to your accountant.
Overpayment relief
If your original SDLT return was filed more than one year ago but fewer than 4 years ago (measured from the effective date of transaction), you can apply for overpayment relief. This route is for cases where the return cannot be amended directly. The claim is made by writing to HMRC. If the return was filed within the past year, you can amend it directly - which is faster.
If you hold property through a company structure and are assessing whether past transactions were assessed correctly, our business and systems resources cover tax structuring in more detail.
How to apply and what to expect
The route varies by ground:
Higher rates refund: online form at GOV.UK (agents can also apply online).
Overpayment relief (beyond 1 year): written letter to HMRC.
Non-resident surcharge refund: amendment to the original SDLT return.
Once HMRC receives a valid claim, it will pay the refund directly into your bank account within 15 working days, per GOV.UK guidance.
Before filing any claim, consider whether a tax adviser should review your position first. Errors in a refund claim can attract HMRC scrutiny. Speak to your accountant if there is any doubt about which ground applies or how to calculate the refund amount. Our free resources include further guidance on property tax matters.
Key takeaways
HMRC recognises six grounds for an SDLT refund; the most common is the higher rates surcharge on additional dwellings where the previous home has since been sold.
The sell-to-qualify window is 3 years from purchase; the claim window is 12 months from the date of sale or original SDLT filing (whichever is later).
Overpayment relief covers up to 4 years from the effective date of transaction but must be claimed in writing to HMRC.
Non-resident surcharge refunds require a return amendment within 2 years of the effective transaction date.
HMRC targets 15 working days to process and pay approved refunds.
SDLT applies in England and Northern Ireland only; Scotland uses LBTT and Wales uses LTT.
If you have paid Stamp Duty Land Tax (SDLT) on a property purchase in England or Northern Ireland, you may be owed money back. HMRC's updated guidance, published 26 June 2026, sets out six distinct grounds for claiming a refund - and strict deadlines that, if missed, mean the money is gone for good.
SDLT applies in England and Northern Ireland only. Scotland uses Land and Buildings Transaction Tax (LBTT). Wales uses Land Transaction Tax (LTT). This article covers SDLT only.
Six grounds for an SDLT refund
HMRC confirms you can apply for a refund if any of the following apply to your transaction, according to GOV.UK guidance:
You paid the higher rates on a new main home but have since sold your previous main residence.
You paid the 2% non-resident surcharge but have since become UK resident for SDLT purposes.
You were eligible for a relief or exemption - such as first-time buyer relief - but did not claim it on your original return.
You paid residential rates but should have paid non-residential rates.
You made a calculation error that resulted in overpayment.
You calculated the correct amount but transferred too much to HMRC in error.
Each ground has its own claim route and deadline. They are not interchangeable. Property investors with multiple transactions may find reviewing past purchases against these grounds worthwhile.
The most common claim: higher rates on additional dwellings
The most frequently applicable ground is the first one. If you bought a new property while still owning your previous main home, you will have paid the higher rates surcharge. Once you sell the old property, you can claim the surcharge back.
The window is strict. You must sell your previous main home within 3 years of buying the new one to qualify. After you have sold it, your claim must be submitted within 12 months of whichever is later: the date of that sale, or the filing date of your original SDLT return, per GOV.UK.
The worked example that matters: Say you purchased a property for £350,000 in November 2024, before completing the sale of your previous home. The higher rates surcharge of 5 percentage points applies across the full purchase price on purchases on or after 31 October 2024, per GOV.UK. On £350,000, that surcharge element totals £17,500 (5% × £350,000). Sell the old property within 3 years, submit your claim in time, and that £17,500 comes back. Use our stamp duty calculator to check the exact figure on your own transaction.
Applications for higher rates refunds are made via an online form on GOV.UK. Agents can also submit the form on behalf of clients.
Other grounds: non-residents, unclaimed reliefs, and overpayments
Non-resident surcharge
If you paid the 2% non-resident surcharge but subsequently met the UK residency test - present in the UK for at least 183 days in any continuous 365-day period within the relevant window - you can apply for a refund. You claim by amending your original SDLT return. You have 2 years from the effective date of the transaction to do so, per GOV.UK.
Unclaimed reliefs
If you were eligible for a relief but did not claim it on your original return, you may be able to amend that return within the standard amendment period. First-time buyer relief, certain mixed-use reliefs, and other exemptions fall into this category. If you are unsure whether a relief applied to a past transaction, speak to your accountant.
Overpayment relief
If your original SDLT return was filed more than one year ago but fewer than 4 years ago (measured from the effective date of transaction), you can apply for overpayment relief. This route is for cases where the return cannot be amended directly. The claim is made by writing to HMRC. If the return was filed within the past year, you can amend it directly - which is faster.
If you hold property through a company structure and are assessing whether past transactions were assessed correctly, our business and systems resources cover tax structuring in more detail.
How to apply and what to expect
The route varies by ground:
Higher rates refund: online form at GOV.UK (agents can also apply online).
Overpayment relief (beyond 1 year): written letter to HMRC.
Non-resident surcharge refund: amendment to the original SDLT return.
Once HMRC receives a valid claim, it will pay the refund directly into your bank account within 15 working days, per GOV.UK guidance.
Before filing any claim, consider whether a tax adviser should review your position first. Errors in a refund claim can attract HMRC scrutiny. Speak to your accountant if there is any doubt about which ground applies or how to calculate the refund amount. Our free resources include further guidance on property tax matters.
Key takeaways
HMRC recognises six grounds for an SDLT refund; the most common is the higher rates surcharge on additional dwellings where the previous home has since been sold.
The sell-to-qualify window is 3 years from purchase; the claim window is 12 months from the date of sale or original SDLT filing (whichever is later).
Overpayment relief covers up to 4 years from the effective date of transaction but must be claimed in writing to HMRC.
Non-resident surcharge refunds require a return amendment within 2 years of the effective transaction date.
HMRC targets 15 working days to process and pay approved refunds.
SDLT applies in England and Northern Ireland only; Scotland uses LBTT and Wales uses LTT.
If you have paid Stamp Duty Land Tax (SDLT) on a property purchase in England or Northern Ireland, you may be owed money back. HMRC's updated guidance, published 26 June 2026, sets out six distinct grounds for claiming a refund - and strict deadlines that, if missed, mean the money is gone for good.
SDLT applies in England and Northern Ireland only. Scotland uses Land and Buildings Transaction Tax (LBTT). Wales uses Land Transaction Tax (LTT). This article covers SDLT only.
Six grounds for an SDLT refund
HMRC confirms you can apply for a refund if any of the following apply to your transaction, according to GOV.UK guidance:
You paid the higher rates on a new main home but have since sold your previous main residence.
You paid the 2% non-resident surcharge but have since become UK resident for SDLT purposes.
You were eligible for a relief or exemption - such as first-time buyer relief - but did not claim it on your original return.
You paid residential rates but should have paid non-residential rates.
You made a calculation error that resulted in overpayment.
You calculated the correct amount but transferred too much to HMRC in error.
Each ground has its own claim route and deadline. They are not interchangeable. Property investors with multiple transactions may find reviewing past purchases against these grounds worthwhile.
The most common claim: higher rates on additional dwellings
The most frequently applicable ground is the first one. If you bought a new property while still owning your previous main home, you will have paid the higher rates surcharge. Once you sell the old property, you can claim the surcharge back.
The window is strict. You must sell your previous main home within 3 years of buying the new one to qualify. After you have sold it, your claim must be submitted within 12 months of whichever is later: the date of that sale, or the filing date of your original SDLT return, per GOV.UK.
The worked example that matters: Say you purchased a property for £350,000 in November 2024, before completing the sale of your previous home. The higher rates surcharge of 5 percentage points applies across the full purchase price on purchases on or after 31 October 2024, per GOV.UK. On £350,000, that surcharge element totals £17,500 (5% × £350,000). Sell the old property within 3 years, submit your claim in time, and that £17,500 comes back. Use our stamp duty calculator to check the exact figure on your own transaction.
Applications for higher rates refunds are made via an online form on GOV.UK. Agents can also submit the form on behalf of clients.
Other grounds: non-residents, unclaimed reliefs, and overpayments
Non-resident surcharge
If you paid the 2% non-resident surcharge but subsequently met the UK residency test - present in the UK for at least 183 days in any continuous 365-day period within the relevant window - you can apply for a refund. You claim by amending your original SDLT return. You have 2 years from the effective date of the transaction to do so, per GOV.UK.
Unclaimed reliefs
If you were eligible for a relief but did not claim it on your original return, you may be able to amend that return within the standard amendment period. First-time buyer relief, certain mixed-use reliefs, and other exemptions fall into this category. If you are unsure whether a relief applied to a past transaction, speak to your accountant.
Overpayment relief
If your original SDLT return was filed more than one year ago but fewer than 4 years ago (measured from the effective date of transaction), you can apply for overpayment relief. This route is for cases where the return cannot be amended directly. The claim is made by writing to HMRC. If the return was filed within the past year, you can amend it directly - which is faster.
If you hold property through a company structure and are assessing whether past transactions were assessed correctly, our business and systems resources cover tax structuring in more detail.
How to apply and what to expect
The route varies by ground:
Higher rates refund: online form at GOV.UK (agents can also apply online).
Overpayment relief (beyond 1 year): written letter to HMRC.
Non-resident surcharge refund: amendment to the original SDLT return.
Once HMRC receives a valid claim, it will pay the refund directly into your bank account within 15 working days, per GOV.UK guidance.
Before filing any claim, consider whether a tax adviser should review your position first. Errors in a refund claim can attract HMRC scrutiny. Speak to your accountant if there is any doubt about which ground applies or how to calculate the refund amount. Our free resources include further guidance on property tax matters.
Key takeaways
HMRC recognises six grounds for an SDLT refund; the most common is the higher rates surcharge on additional dwellings where the previous home has since been sold.
The sell-to-qualify window is 3 years from purchase; the claim window is 12 months from the date of sale or original SDLT filing (whichever is later).
Overpayment relief covers up to 4 years from the effective date of transaction but must be claimed in writing to HMRC.
Non-resident surcharge refunds require a return amendment within 2 years of the effective transaction date.
HMRC targets 15 working days to process and pay approved refunds.
SDLT applies in England and Northern Ireland only; Scotland uses LBTT and Wales uses LTT.
Frequently asked questions
Frequently asked questions
Who can claim an SDLT refund?
How long do I have to claim back the higher rates surcharge?
Can I claim a refund if I filed my SDLT return more than a year ago?
How will HMRC pay the refund?
Does this apply in Scotland or Wales?
