Remortgage and transfer of equity

sgk70

I am in the process of remortgaging a buy to let and adding my husband onto the mortgage which requires a transfer of equity. I’ve now been told by the solicitor that stamp duty may be payable which I find bizarre as stamp duty was paid on the house when I bought it 20 years ago. The remortgage is for 120k split between me and my husband. 

SDLT_Geek

sgk70 said:

I am in the process of remortgaging a buy to let and adding my husband onto the mortgage which requires a transfer of equity. I’ve now been told by the solicitor that stamp duty may be payable which I find bizarre as stamp duty was paid on the house when I bought it 20 years ago. The remortgage is for 120k split between me and my husband. 

Is the property in England so that the relevant stamp duty is stamp duty land tax?

If so, then in principle your husband could be liable to SDLT on his acquisition of a share.  Is it a half share he acquires?  He is not paying anything to you?  Just taking on the mortgage with you?

Assuming a half share and paying nothing, then the chargeable consideration would be £60,000.  This is below the SDLT threshold (so long as you and your husband are still together, so that the higher rates, with the 5% surcharge, do not apply).  A return would be needed, but no SDLT would be payable.