We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
PLEASE READ BEFORE POSTING: Hello Forumites! In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non-MoneySaving matters are not permitted per the Forum rules. While we understand that mentioning house prices may sometimes be relevant to a user's specific MoneySaving situation, we ask that you please avoid veering into broad, general debates about the market, the economy and politics, as these can unfortunately lead to abusive or hateful behaviour. Threads that are found to have derailed into wider discussions may be removed. Users who repeatedly disregard this may have their Forum account banned. Please also avoid posting personally identifiable information, including links to your own online property listing which may reveal your address. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide
Stamp duty surcharge
Sarah070807
Posts: 9 Forumite
Hi all
I was wondering if you could help?
We are in the process of selling our home and buying a serviced plot so we can self build. The build will not be finished for at least a year so we are planning on buying a house to live in for that time with the cash from out house sale, and then once we are ready to move out we will put on the rental market.
My question is, will we be charged the 3% extra stamp duty when buying the second home? As the plot of land is not yet residential I can’t see how this would apply but can’t find any information on it.
I was wondering if you could help?
We are in the process of selling our home and buying a serviced plot so we can self build. The build will not be finished for at least a year so we are planning on buying a house to live in for that time with the cash from out house sale, and then once we are ready to move out we will put on the rental market.
My question is, will we be charged the 3% extra stamp duty when buying the second home? As the plot of land is not yet residential I can’t see how this would apply but can’t find any information on it.
Any help greatly appreciated. Thank you in advance!
0
Comments
-
The HMRC definition is here (first hit on Google if you search for "SDLT dwelling definition"!):Sarah070807 said:
As the plot of land is not yet residential I can’t see how this would apply but can’t find any information on it.
https://www.gov.uk/hmrc-internal-manuals/stamp-duty-land-tax-manual/sdltm29955
An empty plot of land is not a dwelling.1 -
The answer will depend on whether there is a building in the course of construction on the plot. There is guidance here https://www.gov.uk/hmrc-internal-manuals/stamp-duty-land-tax-manual/sdltm00400 which will help. If it is a plot with no work done to the house itself, it does not count as a dwelling. The seller might have wanted to have got to "golden brick" for VAT purposes, if so then the property counts as a "dwelling".2
-
Thank you so much guys.No golden brick so we are all good!Thanks again0
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 354.4K Banking & Borrowing
- 254.4K Reduce Debt & Boost Income
- 455.4K Spending & Discounts
- 247.3K Work, Benefits & Business
- 604.1K Mortgages, Homes & Bills
- 178.5K Life & Family
- 261.6K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 37.7K Read-Only Boards