Stamp Duty Holiday / Shared Ownership confusion

ajhemingway

Hi All,

I'm attempting to assist my partner with this conundrum, and I'm a little bit stumped.

She purchased a flat in September 2009 on a Catalyst shared ownership scheme. The total value at the time was £150,000 and she purchased a 50% share for £75,000.

My understanding is that at this time, no Stamp Duty was due on properties of this value as the threshold was extended to £175,000.

Fast-forwarding to present day, she is now in the process of buying out the remaining 50% from Catalyst. The property has been valued at £160,000.

I have looked at the HMRC pages, but I'm confused over what amount of Stamp Duty is now due.

From my understanding, under normal circumstances she would have paid £750 on her half (or elected to pay £1,500) at the time of purchase, but the Stamp Duty holiday in place in 2009 negated this.

I assume the figure now due is £1,600 (1% of the full value) or £800 (1% of half the value), but I can't work out which it should be given the fact the original purchase fell within a window of time where stamp duty on 50% or 100% would have been zero-rated.

Many thanks for any assistance. From what I could see I couldn't find another thread that had this specific combination of issues.

booksurr

it utterly and totally depends on what the solicitor did at the time she purchased the 50% , just because there was a SDLT "holiday" does not mean he did not have to complete the SDLT return making an election for either market value (ie the whole then £150k price) or electing for the staircase method making her liable for SDLT now that she is going over the 80% threshold

until you know which election was made the rest is irrelevant