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  • FIRST POST
    • malcol
    • By malcol 10th Sep 17, 10:15 AM
    • 45Posts
    • 5Thanks
    malcol
    Stamp duty
    • #1
    • 10th Sep 17, 10:15 AM
    Stamp duty 10th Sep 17 at 10:15 AM
    I want to buy a second property to run a business from. The property will be run by a manager and involve care workers who will required to sleep in on a rota basis. Will this type of property purchase have to pay the extra 3% stamp duty. Thank you
Page 1
    • GrumpyDil
    • By GrumpyDil 10th Sep 17, 10:34 AM
    • 71 Posts
    • 47 Thanks
    GrumpyDil
    • #2
    • 10th Sep 17, 10:34 AM
    • #2
    • 10th Sep 17, 10:34 AM
    Why would you buy this personally when it sounds like this would be better being set up under a company arrangement?
    • davidmcn
    • By davidmcn 10th Sep 17, 10:44 AM
    • 5,785 Posts
    • 5,536 Thanks
    davidmcn
    • #3
    • 10th Sep 17, 10:44 AM
    • #3
    • 10th Sep 17, 10:44 AM
    Sounds like it's on the verge of being a non-residential property for SDLT purposes, in which case different rates apply anyway.
    • malcol
    • By malcol 10th Sep 17, 9:28 PM
    • 45 Posts
    • 5 Thanks
    malcol
    • #4
    • 10th Sep 17, 9:28 PM
    • #4
    • 10th Sep 17, 9:28 PM
    Meeting set up got tomorrow to determine best way of purchase. Thank you for your reply
    • malcol
    • By malcol 10th Sep 17, 9:33 PM
    • 45 Posts
    • 5 Thanks
    malcol
    • #5
    • 10th Sep 17, 9:33 PM
    • #5
    • 10th Sep 17, 9:33 PM
    Yes it would be on a commercial basis. Awaiting response from LA regarding change of use and planning permission. Stamp duty is budgeted for 😢 but I had it in mind that the extra % was something to do with buy to let landlords. Thank you for your reply.
    • SDLT Geek
    • By SDLT Geek 10th Sep 17, 9:39 PM
    • 13 Posts
    • 6 Thanks
    SDLT Geek
    • #6
    • 10th Sep 17, 9:39 PM
    • #6
    • 10th Sep 17, 9:39 PM
    If the property you buy is already in a business use when you buy it, then you might well be alright with the lower rates for non residential properties.


    But if you buy a property intending to start a business and on the day of completion it is suitable for use as a dwelling, then you had better budget for the 3% surcharge on top of ordinary residential rates of SDLT.
    • malcol
    • By malcol 10th Sep 17, 9:57 PM
    • 45 Posts
    • 5 Thanks
    malcol
    • #7
    • 10th Sep 17, 9:57 PM
    • #7
    • 10th Sep 17, 9:57 PM
    Thanks for reply. 'Sighs' it's a bummer, no way out. It's got to be paid!
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