Can't work it all out :(

jimmo

As I understand it the changes in Stamp Duty announced in the Autumn Statement come into effect next April so if the purchase takes place before then the Stamd Duty will be the same regardless of who actually purchases.
https://www.gov.uk/government/publications/main-tax-announcements-for-autumn-statement-2015/main-tax-announcements-for-autumn-statement-2015#stamp-duty-land-tax-sdlt--and-capital-gains-tax-cgt
As regards Capital Gains Tax if their names are on the deeds your parents face a potential CGT liability when the house is formally transferred to you and there are 2 possible avenues of escape:
1) You collectively accept that your parents are both legal and beneficial owners of the house and they create a trust which enables you to occupy the property rent free. In that way they will be able to claim Private Residence Relief on settled property.
http://www.hmrc.gov.uk/manuals/cgmanual/CG65400.htm
2) Your parents rely on the argument that despite being legal owners of the property you will always be the beneficial owner so that when the legal ownership of the property is put into your sole name that is just a paper transaction and your parents are not giving you anything.
http://www.hmrc.gov.uk/manuals/cgmanual/CG11730.htm
http://www.hmrc.gov.uk/manuals/cgmanual/CG70230.htm
In my days at HMRC we readily accepted the beneficial ownership argument where youngish buyers had to include their parents as legal owners in order to get a mortgage and where older buyers, particularly under Right to Buy, had to include their adult children as legal owners for the same reason.
Both Trust Law and the difference between legal and beneficial ownership are governed by general law, not tax law, so the real experts are solicitors, not taxmen or accountants but, for me, alarm bells start to ring when you refer to your “conveyancing solicitor”.
Quite a few years ago many solicitors employed conveyancing clerks who did the donkey work for them and I wonder whether you have a conveyancing clerk who has set up on his own and only knows the basics.
You will definitely need a real solicitor for this and don’t be afraid to question his or her knowledge of trusts and beneficial/ legal ownership from what you have learned in your research.

Hellz85

Thank you so much to everyone who has taken the time reply and the useful advice! I have now got a solicitor in place and will be getting a quote back today from someone who specialises in trusts on recommendation from a friend. I will post back with the outcome!