Woodlands were not residential property

In January 2021 the taxpayer bought a property which comprised a six-bedroom house set in 16.6 acres of land including a triple garage outbuildings four acres of private formal gardens and about 12 acres of mature woodlands at the rear of the property.

The taxpayer submitted her stamp duty land tax return on the basis that the transaction was residential. She later amended the return to state that non-residential property – the woods - was included in the transaction and claimed a refund. HMRC refused saying the property was residential.

The taxpayer appealed. In essence she said the size of the woods at 12 acres was much more extensive than was appropriate to a dwelling house of its size in a semi-rural location and that they were more in the nature of a public space enjoyed by local residents. Further they performed...