HMRC is looking to increase the rate of online Stamp Duty Land Tax (SDLT) transactions and says the main issue to cause problems is the use of incorrect or incomplete unique transaction reference numbers (UTRNs) when using the digital filing service.

In a briefing note to the SDLT steering group, reported by CIOT, HMRC says that 56% of payments are currently made electronically, and it has seen a 2% increase in the rate of online filing in the past year.

HMRC is keen to increase the take-up of online filing as it says this 'all but eradicates the scope for error'. While the error rate with paper returns fell in September to 21%, this is still 'much higher' than HRMC anticipated, and the department says it is currently analysing which areas are problematic with the aim of providing more detailed agent information later this year.

The main problems identified with SDLT payments (whether made electronically or otherwise) are with incorrect /incomplete UTRNs (with the consequence that payments cannot be matched to returns) and payment being made to an incorrect HMRC account. A common error is SDLT being paid into the Stamp Duty account.

HMRC guidance on payment of SDLT is available HERE