This was a mixed-use SDLT appeal involving the presence of a large railway tunnel ventilation shaft surrounded by steel fencing in the garden of a substantial dwelling in Hampstead, London. The property had been purchased for £19.75m, and the SDLT reclaim if the property was of mixed-use would have been £1,899,250.
Patrick Cannon acted for the taxpayer company in this appeal and the main issue was whether the use or function of that part of the land was such that it could not be considered to be part of the grounds of the dwelling. In answer to this question, the FTT said “We do not consider that the intrusion of the ventilation shaft and its apparatus is sufficiently severe in relation to the size and nature of the Property as a whole to take it to the far end of the spectrum where it is no longer part of the grounds of the dwelling.”
You can read the full decision here.