Hundreds of homeowners face nasty shock
Homeowners forced to pay thousands in extra stamp duty even though they have done nothing wrong
April 22, 2013
HMRC has confirmed it is pursuing hundreds of homeowners for unpaid stamp duty, in some cases years after the house purchase was completed. This is despite the original underpayment was due to mistakes by solicitors carrying out conveyancing.
When a home is bought the solicitor has to fill out forms documenting the price of the home as well as transfering the appropriate amount of stamp duty to HMRC. In these cases solicitors have reported the price as the home as being much lower than the actual amount. Consequently the stamp duty paid was too low. HMRC not only want this discrepancy to be resolved but also interest on top.
It is technically the homeowner’s responsibility to check that the right amount of stamp duty has been paid. However, as one homeowner commented: “Who do you ask to protect you if you can’t trust your solicitor?”. Some are now left with huge bills and don’t know where they will get the cash from.