Examining the scope of FA 2003 s 75A

HMRC takes the view that the SDLT anti-avoidance provision in FA 2003 s 75A applies only where there is avoidance of tax and, on that basis, HMRC will not seek to apply s 75A where it considers transactions have already been taxed appropriately. However, in this article, the author argues that s 75A could apply to transactions entered into with no tax avoidance purpose. In the absence of unequivocal judicial authority to the contrary, a taxpayer could therefore be left in the unenviable position of relying on HMRC applying the practice set out in its guidance.