Multiple dwellings relief is not available

The taxpayers bought a house with a separate annexe on the first floor. The annexe contained a bedroom bathroom and kitchen. The annexe and the main house shared a front door a hallway and stairs.

The taxpayers submitted a stamp duty land tax return but later amended it to claim multiple dwellings relief. This was on the basis that they had acquired two single dwellings. HMRC refused the claim.

After the First-tier Tribunal dismissed their appeal the taxpayers progressed to the Upper Tribunal on the basis the lower tribunal had made errors of law.

On the actual and historical use of the property the Upper Tribunal did not agree with the taxpayers’ assertion that the First-tier Tribunal had wrongly focused on the suitability for use as two dwellings rather than its past actual use as two dwellings. There had been no finding that the property had been...