Stamp Duty Refund After Selling Your Old Home: The 36-Month Claim Guide

The single biggest stamp duty win available to most movers in 2026 is the additional-property surcharge refund. It is the difference between paying £20,000 or £35,000 in stamp duty on a £400,000 home. Most buyers know they need to claim. Many forget when, how, or stop short of the deadline.

Who can claim

You can claim a refund of the additional-property surcharge if all of these are true:

• You paid the surcharge on a recent purchase.
• The new property has become your sole or main residence.
• You have now sold (or are about to sell) your previous main residence.
• The previous main residence was sold within the relevant time window (see below).
• You lived in the previous residence at some point in the 3 years before the new purchase.

The time windows by country

• England and Northern Ireland (SDLT): refund available if you sell the previous home within 36 months of the new purchase. Claim must be filed within 12 months of the sale of the old home, or 12 months from the SDLT return on the new home, whichever is later.
• Scotland (LBTT): refund available if you sell the previous home within 18 months of the new purchase (was 18 months before December 2024, now 18 months under the post-reform rules). Claim within 3 months of the sale.
• Wales (LTT): refund available if you sell within 3 years (36 months) of the new purchase. Claim within 12 months of the sale.

How much you get back

The refund is the difference between the surcharge bill you paid and the standard bill that would have applied without the surcharge.

Example: £400,000 purchase in England (April 2026):

• Standard SDLT: £10,000
• SDLT with 5% surcharge: £30,000
• Refundable on sale of old home: £20,000

The Scottish ADS at 8% gives a higher refund per pound of price (most Scottish purchases see refunds in the £15,000 to £40,000 range).

What you need to file the claim

• SDLT reference (or LBTT/LTT equivalent) from the new home transaction. It is on your conveyancer's Stamp Duty Return.
• Completion date of the new home purchase.
• Completion date of the sale of the previous home.
• Both addresses.
• The amount of surcharge you paid (your conveyancer can confirm this).
• Bank account for the refund (the same one that made the original payment, or a personal one you can verify).

How to file in England and NI

1. Go to gov.uk and search “apply for a repayment of the higher rates of Stamp Duty Land Tax”.
2. Fill in the online form using the details above.
3. Submit. HMRC processes most claims within 15 working days; refund lands in the bank account 5 to 10 working days after that.

You can file the claim yourself; you do not need your conveyancer to do it. If your conveyancer does it for you, they will charge a small admin fee (typically £100 to £200).

How to file in Scotland

Revenue Scotland uses a slightly different process. The original LBTT return can be amended online via the SETS portal. Your conveyancer typically files the amendment; they have the user account.

How to file in Wales

Welsh Revenue Authority handles refund applications via an online form on gov.wales. Same evidence requirements as HMRC.

Common mistakes that delay or lose the claim

• Missing the deadline. 36 months from the new purchase OR 12 months from the sale of the old home, whichever is later in England/NI. Set a calendar reminder the day the old home completes.
• Selling to a connected party. Transferring the old home to a spouse or company at below market value can be challenged as not a genuine disposal.
• Old home was never your main residence. The 3-year main residence rule is checked against utility bills, council tax records and the electoral roll.
• Selling for nominal consideration. Gifting the old home to a child does not count as a sale for refund purposes; HMRC needs evidence of a real arm's-length transaction.
• Not providing the SDLT reference. Without it, HMRC cannot tie the refund claim to the original return. Get this off your completion statement before filing.

If the old home is taking too long to sell

The 36-month clock is hard. If you cannot sell within the window:

• Reduce the asking price aggressively in the final 6 months of the window.
• Consider a part-exchange or auction sale to guarantee completion before the deadline.
• Transfer to a relative at full market value (with evidence) rather than gifting.

HMRC will sometimes extend the window for exceptional circumstances (probate delays, court injunctions) but this is rare and not guaranteed.

After the refund lands

The refund counts as income for the year you receive it but is not taxable. It does not affect Universal Credit or other benefits. Keep the refund correspondence; you will need it if HMRC ever audits.