What if the home I am buying will be!my main residence?

w00519772

00ec25 wrote: »

read the SDLT guide rather than the bits and pieces which other websites have in isolation

https://www.gov.uk/government/publications/stamp-duty-land-tax-higher-rates-for-purchases-of-additional-residential-properties

companies are at Chapter 5 and question 24 will be relevant!

Thanks I have now read through this. Would there be anything stopping me from moving from property to property renovating them (living in them whilst I renovate them - one at a time). Say I renovated one every few years. Again I am just looking at my options.

00ec25

w00519772 wrote: »

Thanks I have now read through this. Would there be anything stopping me from moving from property to property renovating them (living in them whilst I renovate them - one at a time). Say I renovated one every few years. Again I am just looking at my options.

if you ONLY own one property at any one time then self evidentially it is your "main" home. Thus each time you sell that and replace it with a new property (to do up) you are replacing your main home with a new main home and thus not liable to the the higher rate SDLT

however the fact you are living in a house owned by your own company opens up huge income tax implications that you have not considered. You'd be taxed on a benefit in kind charge for starters

AnotherJoe

00ec25 wrote: »

surely you can understand the rules?

if you ONLY own one property at any one time and live in it then self evidentially it is your "main" home. Thus each time you sell that and replace it with a new property (to do up) you are replacing your main home with a new main home and thus not liable to the the higher rate SDLT


there is a remote risk in your stated plan that HMRC may regard you as a (serial) property developer and thus subject to income tax on your profits

Added the missing words to make sense, because there are plenty of posters here who own one property but let that out, and live elsewhere , so it isn’t their “main home”.

00ec25

AnotherJoe wrote: »

Added the missing words to make sense, because there are plenty of posters here who own one property but let that out, and live elsewhere , so it isn’t their “main home”.

fair enough, however the OP's question that I quoted did specifically state he would be living in each property as his home hence I did not repeat that part, but I've now also coloured it red for the sake of it

w00519772

AnotherJoe wrote: »

Added the missing words to make sense, because there are plenty of posters here who own one property but let that out, and live elsewhere , so it isn’t their “main home”.

Thanks. Say I:

1) Moved to a new city and rented a property
and
2) Rented out my property for x years (where x is a number).

and then:

After x years I sold my property. Would I have to pay Capital Gains Tax here on the property I once lived in and then rented out using consent to let and then buy to let.

w00519772

I was reading this article: https://www.propertytribes.com/ways-landlords-can-avoid-extra-stamp-duty-surcharge-t-127622715.html. I am confused by point seven. Is it implying that if you live in a house (which I have done for five years) and then remortgage as by to let, then you can buy another property without paying the 3%? It seems a bit too good to be true to me. I must of misunderstood.

SDLT_Geek

w00519772 wrote: »

I was reading this article: https://www.propertytribes.com/ways-landlords-can-avoid-extra-stamp-duty-surcharge-t-127622715.html. I am confused by point seven. Is it implying that if you live in a house (which I have done for five years) and then remortgage as by to let, then you can buy another property without paying the 3%? It seems a bit too good to be true to me. I must of misunderstood.

The link you post is to an article in November 2015, well before the 3% surcharge rules were published in March 2016. You are grasping at straws! No, it does not say what you hope it says.

w00519772

SDLT_Geek wrote: »

The link you post is to an article in November 2015, well before the 3% surcharge rules were published in March 2016. You are grasping at straws! No, it does not say what you hope it says.

Well, what does it say then? I am just trying to understand my options - certainly not grasping at straws.

00ec25

w00519772 wrote: »

Well, what does it say then? I am just trying to understand my options - certainly not grasping at straws.

you were told your options in May 2017. Why are you persisting in reading out of date articles rather than the HMRC info you've been given?

Slithery

Whatever it says is irrelevant, because it is now out of date information that has been replaced with new rules.