The Conveyancing Association (CA) has warned of rising complexity across the stamp duty land tax (SDLT) regime in the face of new HMRC guidance, which is increasing the need for specialist advice.

Although the group has welcomed new HMRC guidance on registration requirements for firms submitting SDLT returns, it stressed this administrative requirement should not be interpreted as meaning conveyancers are qualified, regulated or insured to provide tax advice, calling for increased safeguards to be in place as the tax landscape continues to evolve.

The association said firms are facing growing challenges in assessing SDLT liabilities, reliefs and exemptions as the regime becomes more complex.

With more than 30 reliefs and exemptions now in place, alongside increasingly varied ownership structures and transaction scenarios, issues such as trusts, company ownership, mixed-use property, multiple purchasers, FTB eligibility and higher-rate charges can materially affect tax outcomes.

HMRC’s updated guidance confirms conveyancing firms must register as tax advisers in order to obtain the credentials needed to submit SDLT returns and make payments on behalf of clients. According to the CA, firms are reviewing whether they have the expertise, systems and processes needed to manage SDLT obligations, with approaches ranging from building in-house capability to referring more complex cases for specialist support.

"The publication of HMRC's guidance provides clarity on the practical steps firms will need to take in order to continue submitting SDLT returns. However, it also highlights an important distinction which we have been raising for some time," said Nicky Heathcote, non-executive chair of the CA.

“Registration as a tax adviser for HMRC purposes should not be confused with the provision of tax advice. Conveyancers are required to register in order to fulfil their role in the transaction registration process, but that does not mean they are qualified, regulated or insured to provide detailed tax advice to clients,” Heathcote said.

The full HMRC Mandatory Tax Adviser Registrationguidance can be seen at https://www.gov.uk/hmrc-internal-manuals/mandatory-tax-adviser-registration

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