Stamp Duty saving

mark_casey

There are ways to save stamp duty and the charges to pay it
first if you want to buy a house for under £150,000 then check if it is an disadvantaged area as this is the threshold and not 125,000 as most believe it to be. To check if your property is in a disadvantaged area go to http://www.hmrc.gov.uk/so/disadvantaged.htm or try
https://www.hmrc.gov.uk/so pcode_search.htm.

another way to save some money is to fill in your own form for stamp duty as a solicitor will charge anything from £50 - £75 ( mine wants £75) for this
but if you go to [url]Http://www.hmrc.gov.uk/so/sdlt_website.htm[/url]
you can get the forms to do it online and also download the help sheets. but do this after you have purchased the property as you need completion date and solicitor will give you this , alternativly phone 0845 603 0135 for the forms to do your self

I hope some of you can make use of this
by the way these tips and many other tips are to be found in how to avoid stamp duty by russell eaton ( worth the price of book just for those 2 bits of info alone)

fairyloveheart

My dad bought the houseI currently live in a few months back so wewouldn' lose it whilst we were selling our old property. He thus paid the stamp duty. Now we have sold ours and want to buy from my dad. Is there any way we can avoid paying the duty again, just two months after the first lot....tranfer of title - can you do this even though my dad has a mortgage on the property? Any ideas

Lucy

TamTam72

fairyloveheart wrote:

My dad bought the houseI currently live in a few months back so wewouldn' lose it whilst we were selling our old property. He thus paid the stamp duty. Now we have sold ours and want to buy from my dad. Is there any way we can avoid paying the duty again, just two months after the first lot....tranfer of title - can you do this even though my dad has a mortgage on the property? Any ideas

Lucy

Don't know the definitive answer to your question I'm afraid but maybe this helps?? My parents recently bought our house from us, and we were never told about being able to 'transfer the title' - they had to buy it the same as any other purchaser would have done, and also had to pay stamp duty. I think you're still liable for Stamp Duty even if you sell to a family member. I guess if it were possible to transfer the title, everybody would be doing it!! Hope you get a proper answer!

mark_casey

there are ways to get stamp duty paid by the seller but i doubt you can really avoid it , you can though get it paid on the mortgage if you use some of the clever ideas in the book i mentioned i don't want to plagarise it so i cant tell you all the different ways their are,
however if you get the property sold to you for below stamp duty threshold £125,000 normally but the property is valued at a much higher rate then the tax man may come looking.
it is not impossible to avoid it though as selling to family under value is not allways frowned upon. best to ask the tax man directly, they are honest people and they really are ever so helpfull, they just have bad image , but all my dealings with them are allways benificial.

zoejones_2

Ive seen the book you mention advertised on money sites, it mentions avoiding paying stamp duty altogether "like the big housing developers", can anyone shed any light as we are currently looking at a bill of £2000+ for the new build we want to buy.

STOTTYCAKE_2

think I've read somewhere that if you buy and sell within a year stamp duty isn't due on the house within that time as it's been paid once but not sure.

kingkano

STOTTYCAKE wrote: »

think I've read somewhere that if you buy and sell within a year stamp duty isn't due on the house within that time as it's been paid once but not sure.

:rotfl: no Im afraid not. Its always due. Even if you sold it 1hr after buying it.

As for selling cheaper to family members. Its allowed. But the taxman will ask for a proper valuation, and for you to pay SDLT at THAT value, not at the token value it changed hands for. They arent silly.

2 things in life are guaranteed... death and taxes.

Doozergirl

STOTTYCAKE wrote: »

think I've read somewhere that if you buy and sell within a year stamp duty isn't due on the house within that time as it's been paid once but not sure.

I wish!

I bought a house and paid £2180 in Stamp Duty. If I'm lucky I will sell within a year and the new owner will pay in the region of £13,000. Selling without SDLT on that *would* be a selling point for me!

Something tells me that HMRC won't be turning the money down, however.

Nenen

Someone suggested to me last night that, as we are interested in a property on the market for £285 K and want to avoid the 3% SD, we could try offering 250K plus 5K for all the (brand new de Detriech) kitchen appliances including a giant american fridge) and we would also pay their EA fees (probably around 4K). That would make our offer worth a total of 259K. I know that it is very thin ice with tax man to pay more than a token amount for kitchen appliances etc but is it legal to offer to pay EA fees?

I am all for cutting down on paying any taxes I can but do NOT want to do anyhting illegal!:eek: