Michelle Jacqueline Berrell & Anor v The Commissioners for HMRC
Decision date: 2 September 2025
Neutral citation: [2025] UKFTT 1067 (TC)
Overall AI summary confidence: high
Short overview
This short overview is intended to summarise the case, issues and outcome so far as they are supported by the judgment.
AI confidence in this short overview: high
This appeal concerned whether Multiple Dwellings Relief (MDR) for SDLT applied to a December 2021 purchase comprising a three-bedroom main house with an attached single-storey annexe. The First-tier Tribunal applied the Fiander multi‑factorial test as at completion and found, treating the rear hallway as communal, that the main house and annexe were each suitable for use as single dwellings. The Tribunal allowed the Appellants' appeal and held the purchase fell within Schedule 6B, entitling them to MDR.
Ratio decidendi
This summary is intended to identify the ratio decidendi, meaning the legal reasons for deciding and the binding part of the decision.
AI confidence in this ratio decidendi summary: medium
The Tribunal applied the Fiander multi‑factorial approach and held that physical attributes at the effective date are determinative of suitability, but realistic terms of occupation (for example whether a connecting space can function as a communal area) may be considered within that assessment. Features such as separate living/bedroom space, separate sanitary facilities, a room suitable for cooking (or dedicated cooker connection), independent heating and separate fuse box/stop tap and running water are strong indicators that parts of a property are suitable as separate single dwellings.
Obiter dicta
This summary is intended to identify obiter dicta, meaning observations made by the way that were not necessary to deciding the case and are not binding.
AI confidence in this obiter dicta summary: medium
The decision indicates, without treating it as conclusive, that absence of separate utility meters, separate council tax entries or separate Land Registry titles does not by itself preclude treatment as separate dwellings; marketing as a single dwelling is of limited weight; a missing cooker at completion may be immaterial where an appropriate electrical connection exists; and post‑completion planning descriptions of an annexe as "ancillary" are of limited relevance to suitability at completion.