Stamp duty surcharge

saajan_12

AGhee wrote: »

My lawyers says exchange of contract means ownership then higher rate should apply

Then why ask us?
(in your shoes I might ask my lawyers why they contradicted the SDLT guidance, but that's up to you).

00ec25

AGhee wrote: »

My lawyers says exchange of contract means ownership then higher rate should apply

replace them with competent lawyers

you have exchanged a contract wherein you are committed to purchasing a property when it is ready. that means you have a conditional contract Chargeable consideration has not been received yet, so SDLT is not due yet - your lawyer should know that.

SDLT_Geek

The definition of "dwelling" for the purposes of the higher rates of stamp duty land tax is set out in para 18 of Finance Act 2003 Sch 4ZA. It includes a building or part of a building in the process of being constructed or adapted for such use. So the building work need not be finished for it to count as a dwelling.

The real question is likely to be whether you have a "major interest" in the property you have contracted to purchase. Is the property in England, Wales or Northern Ireland? If not, see Schedule 4ZA paragraph 17(2)(a) for dwellings outside of England, Wales and Northern Ireland.