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    • Pixie5740
    • By Pixie5740 11th Jun 17, 11:39 AM
    • 11,929 Posts
    • 16,795 Thanks
    Pixie5740
    Hello I am a first time buyer, and I'm purchasing a shared owenership for 130.000 which is 50 percent. My solicitor has sent me a quote for the full value of stamp duty for 260,000. Am I right in saying that I won't have the pay the full 3,000 duty as I'm only buying half of the property?
    Originally posted by Blackadder01
    That depends on how you opt to pay the SDLT. You can use Market Value Election or Pay in Stages as you Staircase.

    https://www.gov.uk/guidance/sdlt-shared-ownership-property
    • Tobyagoode
    • By Tobyagoode 4th Oct 17, 3:44 AM
    • 1 Posts
    • 0 Thanks
    Tobyagoode
    I recently sold my principal residence in which my girl freind (partner) also resided.
    She had rented out her own house for the last 3 years.
    We jointly and equally purchased a new home and it was thought necessary to pay the extra 3% stamp duty because to date she has not sold her house. Ion more recent reading of tax news i now enquire as to whether we unnecessarily paid the 3% and are elligible to claim it back
    • G_M
    • By G_M 4th Oct 17, 7:50 AM
    • 43,832 Posts
    • 51,809 Thanks
    G_M
    She became joint owner of the new property. She already owns a property and now owns 2.

    Additional SDLT is due.

    Use the SDLT calculator to work out how much tax you!!!8217;ll pay.
    • 00ec25
    • By 00ec25 4th Oct 17, 8:39 AM
    • 6,262 Posts
    • 5,783 Thanks
    00ec25
    I recently sold my principal residence in which my girl freind (partner) also resided.
    She had rented out her own house for the last 3 years.
    We jointly and equally purchased a new home and it was thought necessary to pay the extra 3% stamp duty because to date she has not sold her house. Ion more recent reading of tax news i now enquire as to whether we unnecessarily paid the 3% and are elligible to claim it back
    Originally posted by Tobyagoode
    don't know what you read, but the guidance is very clear when you read it. She is now the owner of 2 properties and was therefore correctly liable for the higher rate when "you" jointly purchased her additional property, given it is a tax on the purchase of ... an additional residential property
    https://www.gov.uk/guidance/stamp-duty-land-tax-buying-an-additional-residential-property

    the property she continues to own was not her main residence for at least the previous 3 years given it was let in that period. (I assume "partner" means you are not married, so are not classed as "one unit" for the purposes of main residence anyway?)

    therefore she fails the test of being able to sell her previous main residence, after purchasing a new main residence, BUT within 3 years of the sold property last being used by her as a main residence (read para 3.25)

    https://www.gov.uk/government/publications/stamp-duty-land-tax-higher-rates-for-purchases-of-additional-residential-properties
    • poppy10
    • By poppy10 11th Oct 17, 2:35 PM
    • 5,928 Posts
    • 7,173 Thanks
    poppy10
    The link in this article to the "old stamp duty calculator" doesn't work anymore
    Signature changed by MSE ForumTeam
    • Sacarsium
    • By Sacarsium 29th Nov 17, 6:10 PM
    • 2 Posts
    • 1 Thanks
    Sacarsium
    Hi, I am selling my house (£240k) and my mothers house (£260k)which is in my name and my sisters, the issue I have is we are buying a house for £340k and there may be an amount of time ( a month or two) before mother house is sold, can anyone advise how I stand regarding stamp duty liabilities in this situation?
    Originally posted by RichardDr

    Hopefully by know you've found this out but just in case you haven't.
    Stamp duty is all down to how much you're buying the property for so whether you sell 1 before the other shouldn't matter. The only caveat I would add is, if the plan is to buy the new house before both are sold then you may be subject to the higher stamp duty rate as it could count as a 2nd home.
    • DomLewis24
    • By DomLewis24 29th Nov 17, 7:30 PM
    • 1 Posts
    • 0 Thanks
    DomLewis24
    Stamp Duty for Partners
    Hi,

    I am in the processes of buying a house, I am a first time buyer but my wife is not. Do we still have to pay for Stamp Duty??
    Last edited by DomLewis24; 29-11-2017 at 7:31 PM. Reason: Spelling
    • Aylesbury Duck
    • By Aylesbury Duck 29th Nov 17, 7:42 PM
    • 1,683 Posts
    • 2,220 Thanks
    Aylesbury Duck
    Hi,

    I am in the processes of buying a house, I am a first time buyer but my wife is not. Do we still have to pay for Stamp Duty??
    Originally posted by DomLewis24
    You do if you are buying the house together, yes.
    • erki
    • By erki 2nd Dec 17, 12:26 PM
    • 2 Posts
    • 0 Thanks
    erki
    Hello,

    I have just bought a flat in London for £400k (my first property), with a completion date of 14th November. I have not yet paid the stamp duty as I wanted to see what the new budget announcement would say.

    Since the new rules are "effective immediately" does that mean I can pay the stamp duty according to the new rules? (and save £5k) Or am I stuck since my completion date is before 22nd November?

    If I'm bound by the completion date, is there a way to amend the completion date (with the permission/agreement of the seller of course)?

    Cheers
    • 00ec25
    • By 00ec25 2nd Dec 17, 12:36 PM
    • 6,262 Posts
    • 5,783 Thanks
    00ec25
    Hello,

    I have just bought a flat in London for £400k (my first property), with a completion date of 14th November. I have not yet paid the stamp duty as I wanted to see what the new budget announcement would say.

    Since the new rules are "effective immediately" does that mean I can pay the stamp duty according to the new rules? (and save £5k) Or am I stuck since my completion date is before 22nd November?

    If I'm bound by the completion date, is there a way to amend the completion date (with the permission/agreement of the seller of course)?

    Cheers
    Originally posted by erki
    do you understand the difference between exchange date and completion date?

    the liability for SDLT is on the completion date, not the exchange date
    https://www.gov.uk/hmrc-internal-manuals/stamp-duty-land-tax-manual/sdltm07600

    if you needed a mortgage to purchase the property then your conveyancer would require the cash to cover the SDLT to be in their hands before you completed. So when you say you have not yet paid it that suggests you have merely exchanged, rather than completed?

    if you do not need a mortgage and have genuinely completed on 14th Nov then you need to get a move on as you have 30 days in which to pay the SDLT. As per the link in my previous post, the rules are applicable from 22nd Nov. The word used is "from", that does not mean backdated to 14th Nov because that is what you'd prefer it to mean.

    if you have merely exchanged on the 14th, and thus not yet completed, then yes, the new rule means you will not pay SDLT if a 400k property is "in" London
    Last edited by 00ec25; 02-12-2017 at 12:44 PM.
    • erki
    • By erki 2nd Dec 17, 1:36 PM
    • 2 Posts
    • 0 Thanks
    erki
    Thanks.

    Yes, we exchanged contracts a few days before the 14th, and completed on the 14th. Yes I have a mortgage. I also proved that I have enough money to pay the old stamp duty amounts. I was aware I have 30 days to pay stamp duty, which is why I didn't pay immediately just in case there was a favourable rule change!

    So, i have completed, but not paid stamp duty yet. My main query is, in order for me to pay the new stamp duty, does the completion date have to be after 22nd Nov, or do I simply have to be paying the stamp duty after the 22nd?
    • 00ec25
    • By 00ec25 2nd Dec 17, 1:42 PM
    • 6,262 Posts
    • 5,783 Thanks
    00ec25
    So, i have completed, but not paid stamp duty yet. My main query is, in order for me to pay the new stamp duty, does the completion date have to be after 22nd Nov, or do I simply have to be paying the stamp duty after the 22nd?
    Originally posted by erki
    why are you repeating a question that has already been answered?

    you have to pay within 30 days of 14th Nov, ie you have until 13th Dec to pay up

    why is your solicitor not advising you on this issue or doing the SDLT return for you? The solicitor is required by the council of mortgage lenders to have the SDLT funds available in his clients account by the date of completion so he can then pay it on your behalf and thus discharge his liability to the mortgage company for ensuring it has been paid. It seems strange that you are asking such questions yourself when the info is easily found online:

    https://www.gov.uk/guidance/stamp-duty-land-tax-online-returns
    Last edited by 00ec25; 02-12-2017 at 1:54 PM.
    • Rsmith1987
    • By Rsmith1987 18th Mar 18, 8:29 PM
    • 1 Posts
    • 0 Thanks
    Rsmith1987
    Hi there

    So I will be a first time buyer. If I am purchasing through a shared ownership scheme, is the stamp duty calculated on my owned percentage or the full property value? If I am looking at a 50% ownership of a £350K house then will I be paying £2500 or £0? Obviously it makes a big difference.

    Sorry if this has already been mentioned but I cannot find it.

    Many thanks in advance!
    • AnotherJoe
    • By AnotherJoe 18th Mar 18, 8:41 PM
    • 9,053 Posts
    • 9,948 Thanks
    AnotherJoe
    See post 41
    • SDLT Geek
    • By SDLT Geek 18th Mar 18, 8:58 PM
    • 200 Posts
    • 125 Thanks
    SDLT Geek
    FTB relief and shared ownership lease
    Hi there

    So I will be a first time buyer. If I am purchasing through a shared ownership scheme, is the stamp duty calculated on my owned percentage or the full property value? If I am looking at a 50% ownership of a £350K house then will I be paying £2500 or £0? Obviously it makes a big difference.
    Originally posted by Rsmith1987
    In the case of a shared ownership lease, first time buyers' relief is only available if you elect to pay SDLT on the market value.
    • Ed-1
    • By Ed-1 18th Mar 18, 9:02 PM
    • 2,178 Posts
    • 1,164 Thanks
    Ed-1
    2nd home stamp duty
    Is there any problem with someone who doesn't own a home currently buying a property and paying no stamp duty (as the purchase is below the threshold) and then gifting that property to someone who already owns a home so as to avoid the person who already owns the home paying the higher rate of stamp duty?

    Or for example instead of a couple purchasing a property jointly as one already owns a house and so the transaction would be liable for the 2nd home stamp duty rate, could the non homeowner purchase it and then gift half of it to the other?
    Last edited by Ed-1; 18-03-2018 at 9:27 PM.
    • Magdalene888
    • By Magdalene888 21st Mar 18, 4:26 PM
    • 5 Posts
    • 0 Thanks
    Magdalene888
    Transfer of Equity-first-time buyer bought house
    Hi,

    I bought my first house 2.5 years ago with my friend for 220000. I now have a mortgage of 123500 and my friend wants to leave this arrangement to buy his own place. We have agreed that I will pay him 64000, and we will do a transfer of equity.
    Does anyone know if I still count as a first time buyer? Or does a transfer of equity mean that I am effectively buying again (although itís still the same house thatís just getting transferred to me)?

    Am I liable for stamp duty on anything over 125000?

    Also, if the value of the house has now gone up, does that mean that we have more equity in it?

    Thank you!
    • SDLT Geek
    • By SDLT Geek 21st Mar 18, 8:59 PM
    • 200 Posts
    • 125 Thanks
    SDLT Geek
    You will not count as a first time buyer. SDLT will be due, calculated on the sum you pay and on half of the mortgage debt (if you own in half shares).
    • Magdalene888
    • By Magdalene888 22nd Mar 18, 10:28 AM
    • 5 Posts
    • 0 Thanks
    Magdalene888
    Thanks!

    But how do they get away with charging Stamp Duty twice on the same house to the same person?
    • sheramber
    • By sheramber 22nd Mar 18, 12:12 PM
    • 4,531 Posts
    • 3,424 Thanks
    sheramber
    Thanks!

    But how do they get away with charging Stamp Duty twice on the same house to the same person?
    Originally posted by Magdalene888
    You originally only bought part of the house.
    Your friend owned the other part.
    Now you are buying the part you do not own.
    .
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