Is this a stupid idea to save on SDLT?

davidmcn

tlc678910 wrote: »

I think you could enter into a whole heap of major problems to avoid a minor inconvenience of one amount of stamp duty in the low thousands?

teddysmum wrote: »

If the lady needed residential care the Newcastle house would have to be sold to cover costs.

The OP has already discounted the idea, so this is becoming a bit academic...

cashbackproblems

AnotherJoe wrote: »

Avoidance is OK. It's evasion which is the bad one. Avoidance would be, buying a house under the SDLT threshold for example, that's OK. Evasion is, two parties doing fake linked transactions for the purposes of evading the tax they would otherwise pay.

I'd also suspect that over a few years the combined cost of the legal requirements such as gas certificates, electrical (coming?) would cost more than the SDLT. Plus the need to declare the income each year, and the tax forms.

I know avoidance isnt illegal smart !!!, but hmrc are cracking down on avoidance and punishing financial services who asvise on these schemes, its early days but is the next big crack down

AdrianC

cashbackproblems wrote: »

I know avoidance isnt illegal smart !!!, but hmrc are cracking down on avoidance and punishing financial services who asvise on these schemes, its early days but is the next big crack down

You're confused with avoidance and evasion.

HMRC cannot crack down on what's legal - there's nothing TO crack down on. The schemes you talk about are not legal.