HMRC will no longer physically stamp documents - Kuits Solicitors Manchester

HMRC will no longer physically stamp documents

HMRC will no longer physically stamp documents

25th June 2021 - Published by Kuits Corporate team

The 300 year old process of manually stamping documents using stamping presses to evidence the payment of transfer tax is officially going digital from mid-July, HMRC said in its press release last week.

The announcement comes after the introduction of a new process that took place during the outbreak of the COVID-19 pandemic, as the centuries old process of physical stamping could not operate under the restrictions in place.

Rather than the long standing and now historic process of sending original wet ink signed documents to HMRC by post, the new digital process through the pandemic has been that HMRC provides an email attaching a PDF confirmation that the relevant tax has been paid following the submission of stock transfer forms, and other instruments that require stamping, to HMRC by email together with electronic payment.

The new process was initially intended to be temporary, but as it has greatly reduced the administrative burden for HMRC and businesses, HMRC has decided to keep it going.

What does this mean for my business now?

The main difference to the temporary process moving forwards is that the confirmation will be sent by HMRC via letter rather than by email. A postal address, and instructions, has been provided for those for whom submission to HMRC by email is not possible.

HMRC has also now helpfully clarified that for stamp duty paid and documents submitted since 27 March 2020, once you have received the relevant confirmation letter by email from HMRC of receipt of stamp duty, or that relief from payment of the duty has been granted, as applicable, the instrument is “stamped” and no further action is required such as resubmitting the physical original document for stamping by post.

Get in touch with a Corporate Solicitor today

Our Corporate team can guide you through these and various other changes to obligations and processes applicable to your business and any transaction it undertakes as a result of the pandemic and can assist you to meet the compliance requirements for your business during the pandemic and beyond. Please contact Partner Helen Mather on 0161 838 8183 or email helenmather@kuits.com.

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