Memorandum of Sale and GDPR

user1977

Hoenir said:

 The memorandum of sale contains details which are data protected.

Yes, but they don't need to be kept confidential from the OP, given they're the data subject and the estate agent's principal! Literally the whole point of the memorandum of sale is that it is distributed among the parties involved.

UnderOffer

“The buyer wanted to avoid stamp duty and and asked the agent if we could come up with a list of items that I could include in the sale which he could pay for seperately, hence quite a long list which is why I want to see the list on the memo before it goes to solicitors.”

I thought this avoidance tactic had been stopped years ago as the tax office were aware this takes place and therefore check any sales where additional items are purchased to keep the price under the STLD threshold? I’d be surprised your solicitor will endorse this. 

Gentoo365

I would say that you don't want to assist someone in tax avoidance and ask them to find another buyer who doesn't ask you to do something that (it seems) is entirely to avoid/reduce stamp duty.

Also the memorandum of sale thing seems nonsense. It may be that wires are crossed here. If you said you needed it to forward to a new build developer then that may be a breach (the developer has no need to know the details of your buyer). Maybe the estate agent can just write an email to the developer to confirm that a sale has been agreed (subject to contract).

Seiryaria

Personally, my EA also follows this practice (Winkworth in London). However, they did send me a formal letter stating the agreed price and all that. My onward purchase is a new development as well and was also thrown by the lack of the MoS, however, my EA called them personally to explain and also sent written confirmation that a sale has been agreed, upon which the developer was fine with this confirmation. So doesn't seem too uncommon? When I first bought I did receive it, it was another agency though. I've asked other people on the block who sold with them and it was the same for them.

Flugelhorn

Sounds like this may be a company buying the property  I wonder if they are connected to the estate agent?

artyboy

UnderOffer said:

“The buyer wanted to avoid stamp duty and and asked the agent if we could come up with a list of items that I could include in the sale which he could pay for seperately, hence quite a long list which is why I want to see the list on the memo before it goes to solicitors.”

I thought this avoidance tactic had been stopped years ago as the tax office were aware this takes place and therefore check any sales where additional items are purchased to keep the price under the STLD threshold? I’d be surprised your solicitor will endorse this. 

Since the abolition of 'cliff edge' SDLT thresholds, the whole fixtures and fittings fiddle has been marginalised. A property that sold for £249,999 back in the day would be taxed at 1%, whereas one sold at £250,001 would have been taxed at 3% - so ensuring you got below a threshold could save a big chunk of tax...

user1977

artyboy said:

UnderOffer said:

“The buyer wanted to avoid stamp duty and and asked the agent if we could come up with a list of items that I could include in the sale which he could pay for seperately, hence quite a long list which is why I want to see the list on the memo before it goes to solicitors.”

I thought this avoidance tactic had been stopped years ago as the tax office were aware this takes place and therefore check any sales where additional items are purchased to keep the price under the STLD threshold? I’d be surprised your solicitor will endorse this. 

Since the abolition of 'cliff edge' SDLT thresholds, the whole fixtures and fittings fiddle has been marginalised. A property that sold for £249,999 back in the day would be taxed at 1%, whereas one sold at £250,001 would have been taxed at 3% - so ensuring you got below a threshold could save a big chunk of tax...

Yes, so I wonder if the buyer has misunderstood the current rules - or is really just penny-pinching for the sake of whatever e.g. 1% on some second-hand curtains would amount to.