STSM141020 | Stamp Duty and SDRT Administration: Stamp Duty Administration: payment and denoting of Stamp Duty

Traditionally, paper instruments of transfer (e.g. stock transfer form) would be sent to HMRC and the payment of (or relief from) Stamp Duty would be confirmed by the physical stamping of the instrument using an impressed die.

As noted in STSM011015 and STSM011015A this was replaced in 2020 by a new system, under which:

• Transfer instruments (including form SH03 to record the purchase of own shares) are submitted to HMRC electronically

• In place of a physical stamp on the transfer instrument, HMRC issues a letter confirming that duty has been paid or a claim for relief has been adjudicated

Instruments which have been processed by HMRC under this system are “duly stamped” instruments (see STSM141030).