Remortgage

Harvey_moon

Can anyone tell me we paid stamp duty on our property even though it was a remortgage (the property was in our name ) I have been told that we should not of had to pay it is this right please help !

kingstreet

Only a remortgage which included a transfer of equity should see stamp duty paid, unless there was something unusual about the property. Shared ownership, for example.

Please clarify exactly what transaction was undertaken and on what type of property.

Have you discussed this with the solicitor who completed the SDLT return and asked them to explain?

Harvey_moon

We bridge the property before we remortgaged so that we could section it off into two house and land we remortgaged the house and made this our home the house was 170,000 the land 100,000 the solicitor said it was a linked transaction and had to pay stamp duty on both the deeds were separated when we bridged

Harvey_moon

It was our current lender that was surprised we payed stamp duty as it was a remortgage

kingstreet

I'm not even going to try to unravel that. The fact this is a remortgage has no relevance to the stamp duty issues. If your solicitor believed there was a stamp duty liability on the land transactions, I tend to go with them.

That you mention "linked transaction" suggests he knows what he's doing.

If you have an issue, I suggest you run it past another solicitor, or HMRC themselves.

Harvey_moon

This happen in 2008 and I did ask her why we were paying stamp duty and she did not give me a answer we have remortgaged property's before and done this but still payed no stamp duty I think I will speak to HMRC there was nothing on the completion statement except £4,000 for conveyancing formalities thanks for that

kingstreet

I don't think this is anything to do with a remortgage. It is the transfers of land you conducted which attract stamp duty. There's more here, when you can establish exactly what you did;-

http://www.hmrc.gov.uk/sdlt/calculate/transfer-ownership.htm