Stamp Duty Avoidance

[Deleted User]

I have had quite a few properties but never paid the higher rate SDLT when selling my main home to move to another main home 

canaldumidi

stu2500 said:

p00hsticks said:

Just to be clear - when you say you are 'moving home', do you mean that you are selling the property you jointly own and currently live in in order to buy another one ?  Because if so, then you will be 'replacing your main residence' and so will not have to pay the additional 3% SDLT even though you will have more than one property.

Apologies, yes, selling our current residential home and purchasing a new one. 

Current home jointly owned? Replacement home to be jointly owned?

No additional SDLT due.

Marriage is irrelevant here.

If you’re replacing your main residence

You will not pay the extra 3% SDLT if the property you’re buying is replacing your main residence and that has already been sold.

If you have not sold your main residence on the day you complete your new purchase you’ll have to pay higher rates. This is because you own 2 properties.

You can apply for a refund if you sell your previous main home within 36 months.

https://www.gov.uk/stamp-duty-land-tax/residential-property-rates

stu2500

Thank you everyone for your comments and help, obviously still a bit of a gre yarea. But to clarify, we're selling our main residential home and replacing it with a larger home. But, keeping our existing BTL flat in the background. 

Snookie12cat

stu2500 said:

Thank you everyone for your comments and help, obviously still a bit of a gre yarea. But to clarify, we're selling our main residential home and replacing it with a larger home. But, keeping our existing BTL flat in the background. 

Yep, no additional stamp duty.

SDLT_Geek

stu2500 said:

Thank you everyone for your comments and help, obviously still a bit of a gre yarea. But to clarify, we're selling our main residential home and replacing it with a larger home. But, keeping our existing BTL flat in the background. 

I wonder where you think the grey area is?  The guidance at SDLTM09800 is pretty clear for your position.

Copstaasty1234

Following with interest- so if you own a property and rent it out, you can buy another house with someone else and not have to pay the stamp duty? 

SDLT_Geek

hannahcolobus said:

Following with interest- so if you own a property and rent it out, you can buy another house with someone else and not have to pay the stamp duty? 

Usually the extra 3% SDLT has to be paid in the situation you describe.  The “get out” is where another home had been sold / disposed of, which you had lived in within the last three years.

saajan_12

hannahcolobus said:

Following with interest- so if you own a property and rent it out, you can buy another house with someone else and not have to pay the stamp duty? 

No, its not because of hte someone else..
Here if you own a property and rent it out, live in another house you own, then you can move house without paying the extra 3% SDLT. 
You still pay the normal SDLT, and if you increased the number of properties or moved one of the rentals then you *would* have to pay the higher rate SDLT.