STSM142040 | Stamp duty and SDRT Administration: SDRT Administration: section 92 FA86 repayment or cancellation of tax

Agreement to transfer

Stamp Duty Reserve Tax (SDRT) is charged on an agreement to transfer chargeable securities whether the agreement is oral or in writing and whether or not the agreement has been completed.

If the agreement is completed by an instrument of transfer which is duly stamped then the SDRT charge is cancelled to the extent that SDRT has not already been paid (per section 92(3) FA1986) - see STSM041050.

Any SDRT which had been paid is repayable (see STSM142110), provided that a claim for repayment is made within a period of six years from the date of the agreement to transfer or, if the agreement was conditional, the date the condition was satisfied (section 92(2) FA1986). Where the tax to be repaid is £25 or more, it is repaid with interest.