285% uplift in Stamp Duty refund claims, comment by Cornerstone Tax

Last week, a leading tax barrister reported a 285% uplift in Stamp Duty refund cases for the period of COVID-19 lockdown – March-June 2020 – compared to the same period last year.

Patrick Cannon, who specialises in stamp duty disputes with HMRC, believes that the large increase in claims could be linked to the Covid-19 outbreak, as a result of homeowners and investors having additional time on their hands.

David Hannah, Founder and Principal Consultant of Cornerstone Tax,  commented on the news: 

“This uplift and its proposed cause of people having more time on their hands to investigate ‘life admin’ jobs is not merely a standalone phenomenon but a sign of things to come. If there is a recession that comes post-COVID, many homebuyers will be looking at ways of generating extra cash and a Stamp Duty refund may be one avenue they explore.

“Now that more people are becoming aware of this issue, both HMRC and the property legal sector must prepare themselves as this number is bound to rise. This is going to be a difficult period and legal professionals must ensure that they are fully protected against any further claims now and in the months and years to come.”

Kindly shared by Cornerstone Tax