Highly unfair stamp duty 2nd property charge

Bookworm225

Fatherted0611 said:

My marital status is single(living with partner), never married, so never divorced.

The house I sold was my primary residence as it had been for a number of years. I was living there up to the date of sale.

I am now living in my partner's house(whom the proposed purchase is with) It is her only property, it is solely in her name.

What will this information mean, as section D is confusing me. Thanks 

the purchase of a new (joint) home will be at STANDARD rate SDLT assuming:

a) new partner is unmarried and is selling her own house in order to buy the joint one with you (ie she is replacing her own main home and will only own 1 property in total) - Note the caveat in the link already given: Where joint purchasers (who are not spouses/civil partners) previously lived together in a property owned by only one of the joint purchasers, the disposal of this previous property will only meet the “replacement of main residence” condition for the previous owner, and not for the purchaser with no ownership interest in the “old” property. (Meaning she must be disposing of her own house or she she alone would trigger higher rate on the new joint purchase)

b) you are unmarried and have already sold what was your main home. You do not have a legal interest in new partner's property where you currently reside.
When you sell ex main home before purchasing new main home, the period between is ignored provided that you have no legal interest in wherever you reside , you can for example be in a short term rental, stay with friends or, as in your case, reside with your unmarried partner


Technically therefore Condition D has "not" been met because you ARE replacing the main home and fall into first scenario on the link already given: Old main residence sold before the new main residence is purchased  

you yourself would thus meet all 5 conditions set out in that scenario
1. the new property is to be the new home
2. you have sold the old home within the last 3 years 
3. neither you nor new partner have an ongoing interest in your now sold house 
4. you lived in the old property within the last 3 years
5 since selling you do not have an interest in another property that you live in (your ex partner's house is irrelevant)

SDLTM09800 - SDLT - higher rates for additional dwellings: Condition D - general - Para 3(6) Sch 4ZA FA2003 - HMRC internal manual - GOV.UK

Bookworm225

Fatherted0611 said:

. My solicitor said I'm on deeds anywhere, the 2nd property charge will apply.

you should "invite" your solicitor to undergo more training on how higher rate SDLT operates 

not knowing the replacement rule inside out is frankly shocking for a solicitor,

saajan_12

Here's the official guidance from HMRC which you fit: 
https://www.gov.uk/hmrc-internal-manuals/stamp-duty-land-tax-manual/sdltm09805

Standard rates would apply to you, and no paying and refunding either as your sale was before your purchase. 

Bookworm225

saajan_12 said:

Here's the official guidance from HMRC which you fit: 
https://www.gov.uk/hmrc-internal-manuals/stamp-duty-land-tax-manual/sdltm09805

Standard rates would apply to you, and no paying and refunding either as your sale was before your purchase. 

which is a repeat of the official guidance in the link previously given