{"id":669,"date":"2020-04-07T00:00:00","date_gmt":"2020-04-07T00:00:00","guid":{"rendered":"https:\/\/srcadvisory.com\/temporary-changes-to-stamp-duty-compliance-due-to-coronavirus\/"},"modified":"2020-04-14T11:24:24","modified_gmt":"2020-04-14T11:24:24","slug":"temporary-changes-to-stamp-duty-compliance-due-to-coronavirus","status":"publish","type":"post","link":"https:\/\/srcadvisory.com\/temporary-changes-to-stamp-duty-compliance-due-to-coronavirus\/","title":{"rendered":"Temporary Changes to Stamp Duty compliance due to coronavirus"},"content":{"rendered":"<\/p>\n
\n

Background<\/strong><\/p>\n

Due to coronavirus (COVID-19) HMRC has temporarily changed the way they deal with Stamp Duty.
\nStamp Duty is paid on shares bought on a stock transfer form.
\n\u00a0
\nIt should not be confused with paying Stamp Duty Reserve Tax which is paid on the paperless purchase of shares, or paying Stamp Duty Land Tax when property is bought or transferred.
\n\u00a0
\nThe deadline for paying Stamp Duty and getting stock transfer documents to the Stamp Office is no later than 30 days after they\u2019ve been dated and signed.
\n\u00a0
How to pay Stamp Duty to HMRC during the pandemic<\/strong><\/p>\n

If you send HMRC payment by cheque it will not be banked until coronavirus (COVID-19) measures end. This means the transaction you have sent details of to HMRC by email will not be processed.
\nEmail: stampdutymailbox@hmrc.gov.uk if you cannot make an electronic payment.<\/p>\n

You\u2019ll need to provide a payment reference so that HMRC can identify your payment. Use your name followed by the payment amount (no spaces), for example: BGates\/240.00.<\/p>\n

If you\u2019re a solicitor or adviser making a payment on behalf of your client you can use your client\u2019s reference or matter number as the payment reference.<\/p>\n

Your payment could be delayed if you use the wrong reference.<\/p>\n

Use the following details to make a payment from a UK account.<\/p>\n

Sort Code:\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a008 32 10
\nAccount Number: \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a012001098
\nAccount Name: \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0HMRC Birmingham Stamp Office
\n\u00a0
How to report transactions to HMRC \u00a0due to the pandemic<\/strong>
\n\u00a0
\nDue to the special COVID-19 restrictions, you cannot post details of the transaction to HMRC. After you have paid your Stamp Duty you must email details to HMRC at:\u00a0
\n\u00a0
stampdutymailbox@hmrc.gov.uk<\/a><\/p>\n

Your email should include:
\n\u2022\u00a0\u00a0 \u00a0the payment reference
\n\u2022\u00a0\u00a0 \u00a0the payment amount
\n\u2022\u00a0\u00a0 \u00a0the date of payment
\n\u2022\u00a0\u00a0 \u00a0an electronic copy (for example, a scanned PDF) of either your:\u00a0
\no\u00a0\u00a0 \u00a0signed and dated stock transfer form
\no\u00a0\u00a0 \u00a0instrument of transfer
\no\u00a0\u00a0 \u00a0form SH03 for return of purchase of own shares
\nHMRC will accept e-signatures while coronavirus (COVID-19) measures are in place.<\/p>\n

If your stock transfer form or instrument of transfer does not include them, you will also need to give details of the:\u00a0
\n\u2022\u00a0\u00a0 \u00a0name of the company whose shares are being transferred
\n\u2022\u00a0\u00a0 \u00a0shares being transferred including date of transfer
\n\u2022\u00a0\u00a0 \u00a0parties to the transaction
\n\u2022\u00a0\u00a0 \u00a0amount of consideration
\nHMRC will contact you by email if they have any questions. If HMRC do not have any questions and are able to process your transaction, they will send you a confirmation letter by email. No stock transfer forms are currently being stamped
\n\u00a0
Penalties for late filing<\/strong>
\n\u00a0
\nPenalties for late submission are calculated and charged on a document by document basis. \u00a0These are additional to the Stamp Duty due.
\n\u00a0
\nLength of delay\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Amount of penalty
\nDocuments late by up to 12 months\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a010% of the duty, capped at \u00a3300
\nDocuments late by 12 to 24 months \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 20% of the duty
\nDocuments late by more than 24 months\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 30% of the duty
\n\u00a0
\nHMRC will not charge a penalty that\u2019s less than \u00a320 and penalty amounts will be rounded down to the nearest multiple of \u00a35.
\n\u00a0
Interest on late filing<\/strong>
\n\u00a0
\nIf you do not pay the full amount of Stamp Duty on time you\u2019ll have to pay interest daily up to the day you pay it. This is on top of any penalty you have to pay for sending in your documents late.
\n\u00a0
\nThe amount of interest you pay depends on:\u00a0
\n\u2022\u00a0\u00a0 \u00a0how late the payment is
\n\u2022\u00a0\u00a0 \u00a0how much duty you owe
\n\u00a0
\nHMRC uses the official rate of interest set by HM Treasury (currently 2.75%) to work out how much you have to pay. If the interest works out at less than \u00a325 per document, you will not have to pay it.
\n\u00a0
\nSRC-Time are one of the South East\u2019s leading accountancy firms in advising businesses in all aspects of their accounting and tax affairs and we are able to assist in any issue raised above.
\n\u00a0
\nOur expert team is available to provide you with advice and can be contacted on 01273 326 556 or you can drop us an email at info@src-time.co.uk<\/a> \u00a0or speak with an account manager to get any process started.
\n\u00a0<\/p>\n<\/div>\n

\n

SRC-Time Ltd
\n2nd Floor
\nStanford Gate
\nSouth Road
\nBrighton
\nBN1 6SB<\/span><\/p>\n

T: +44 (0) 1273 326 556<\/a>
\nF: +44 (0) 1273 733 827
\nE: info@src-time.co.uk<\/a><\/span><\/p>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"

Background Due to coronavirus (COVID-19) HMRC has temporarily changed the way they deal with Stamp Duty. Stamp Duty is paid on shares bought on a stock transfer form. \u00a0 It should not be confused with paying Stamp Duty Reserve Tax which is paid on the paperless purchase of shares, or paying Stamp Duty Land Tax […]<\/p>\n","protected":false},"author":4,"featured_media":670,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[14],"tags":[19,18],"acf":[],"_links":{"self":[{"href":"https:\/\/srcadvisory.com\/wp-json\/wp\/v2\/posts\/669"}],"collection":[{"href":"https:\/\/srcadvisory.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/srcadvisory.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/srcadvisory.com\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/srcadvisory.com\/wp-json\/wp\/v2\/comments?post=669"}],"version-history":[{"count":0,"href":"https:\/\/srcadvisory.com\/wp-json\/wp\/v2\/posts\/669\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/srcadvisory.com\/wp-json\/wp\/v2\/media\/670"}],"wp:attachment":[{"href":"https:\/\/srcadvisory.com\/wp-json\/wp\/v2\/media?parent=669"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/srcadvisory.com\/wp-json\/wp\/v2\/categories?post=669"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/srcadvisory.com\/wp-json\/wp\/v2\/tags?post=669"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}