Mixed use and SDLT: Taxpayer win in the FTT

In its decision in Wood & Anor v HMRC the FTT has held that a busy section of a public towpath did not form part of the “garden or grounds” of a riverside dwelling.

In addition to the usual FA 2003 s.116(1)(b) issue, the FTT had to decide whether or not the towpath constituted an “interest in or right over land that subsists for the benefit of” the house or garden for the purposes of s.116(1)(c). As the entire property consisted of a single freehold, the FTT concluded that s.116(1)(c) was not met. The mixed use rate of SDLT therefore applied to the purchase of the dwelling.

Edward Hellier acted on behalf of the Taxpayer.