Multiple Dwellings Relief (MDR) has proved to be popular and can give rise to significant SDLT savings.
HMRC are seeing win after win in the courts when challenging the application of Multiple Dwellings Relief (“MDR”) claims. The recent decisions have highlighted the extent to which HMRC is actively enquiring into relief claims and the characteristics that must be present.
It is apparent from the case law that the residents of each dwelling must be able to live independently. Each dwelling must have its own independent access and domestic facilities, kitchen and bathroom. Privacy is a key factor.
HMRC has been very active in this area, and it is actively challenging transactions where it is considers that there are not sufficient grounds to make a claim.
If you would like more information on MDR please click here.
Multiple Dwellings Relief can be a complex area. Everyone’s situation is different and getting advice that is tailored to your unique situation can ensure that your affairs are as efficient as possible.