According to a new report, UK pension holders could now be eligible to close to six billion pounds worth of stamp duty refunds from His Majesty’s Revenue and Customs (HMRC) because of incorrect tax advice.
The findings which have recently come to light reveal that many advisors and solicitors may have recommended to their clients that stamp duty payments were due when they were not.
In recent years, transactions related to pensions have become a key area for stamp duty mistakes, as companies often sell the commercial properties that they own to their pension fund as a strategy for retirement planning. During a cost-of-living crisis at a time when financial security in retirement is critical, however, research has revealed that the incorrect advice could mean that many clients lose capital from their private pensions via the initial payment and missed out on the chance to invest this capital, losing potential growth over the following years.
Experts in retirement planning in Shropshire, Bedfordshire and other counties support their clients with reliable advice to ensure they can enjoy the time when they no longer work with peace of mind. Offering holistic financial advice, wealth managers can identify oversights and ensure they don’t impact their client’s financial plans.
It is now estimated that the issue of overpaid stamp duty tax has impacted between 3,000 to 5,000 cases each year, which amounts to 45,000 to 75,000 cases from the year 2007. Those affected by the error could be owed as much as £80,000 each.
