HRAD Relief on Disposal and Replacement of a Main Residence: How Compass Delivered Clarity Under Pressure
March 14, 2025
Stamp Duty Land Tax (SDLT) rules can be complex, especially when it comes to the Higher Rate for Additional Dwellings (HRAD) and the relief available when replacing a main residence. One of our recent clients found themselves in a time-sensitive situation, uncertain about their tax position—until Compass stepped in to provide clarity and peace of mind.
The Client’s Situation
Our client owned two properties:
🏡 A main residence
🏠 A buy-to-let (B2L) property
They had purchased the B2L property some time ago but recently sold their main residence. While searching for a new home, they temporarily moved into the B2L property.
Their solicitor was unsure whether the client would qualify for HRAD relief on the disposal and replacement of a main residence, given that they had moved into their B2L property after the sale.
Not wanting to risk an unexpected SDLT bill, the solicitor correctly referred the client to Compass for a full review.
Fast-Tracked Review: Meeting a Tight Deadline
Time was of the essence—the client had been referred to us on a Friday and needed confirmation by Monday to avoid losing their reservation deposit on a new property.
📌 Standard turnaround: 48–72 hours
📌 Urgent deadline: Less than one business day
Recognising the urgency, our team prioritised the case and worked at speed to ensure the client had their answer before the weekend.
How We Delivered Clarity—Fast
Our fast-tracked review process included:
✅ Providing a quote within hours
✅ Gathering the necessary information quickly
✅ Running system calculations for accuracy
✅ A full review by our tax technical team to ensure the correct position
By close of business on Friday, the client had their confirmation in hand—eliminating the weekend stress and allowing them to proceed with confidence.
The Outcome: Relief Secured & Peace of Mind
Thanks to Compass, the client:
✔️ Recieved confirmation of the correct SDLT position and a fully indemnified calculation to back the assessment
✔️ Avoided a costly mistake on their SDLT liability
✔️ Moved forward with their property purchase stress-free
Their glowing review was a testament to how our expertise and efficiency made a real difference when they needed it most.
Why This Matters
SDLT rules around HRAD relief are not always straightforward—moving into another property after selling a main residence can create uncertainty. But with the right guidance, clients can ensure they only pay what they owe—nothing more.
At Compass, we specialise in delivering fast, accurate tax assessments so that buyers can move forward with confidence.
Need an urgent SDLT review? We’ve got you covered.
If you're facing an SDLT challenge and need clarity quickly, don't leave it to chance—let Compass guide you to the right outcome.