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  • FIRST POST
    • kriven88
    • By kriven88 9th May 18, 5:13 PM
    • 3Posts
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    kriven88
    Do I attract higher stamp duty?
    • #1
    • 9th May 18, 5:13 PM
    Do I attract higher stamp duty? 9th May 18 at 5:13 PM
    Hi,

    I'm a first time buyer. I have my help to buy accepted . I'm the ONLY mortgage applicant and also the only owner of the property. However, my wife is owning a property with her parents where her parents live. The new property we are moving to will be our only residence.

    Should I be paid the first time buyer land stamp duty or is it going to be more because my wide owns a property already?

    Appreciate it. Thanks
Page 1
    • Slithery
    • By Slithery 9th May 18, 5:21 PM
    • 695 Posts
    • 1,074 Thanks
    Slithery
    • #2
    • 9th May 18, 5:21 PM
    • #2
    • 9th May 18, 5:21 PM
    I believe that as well as paying the standard SDLT on the property you will also pay the extra SDLT for additional properties, as after the transaction you will have gone from owning 1 property to owning 2 (married couples are treated as a single unit for SDLT purposes).
    • kriven88
    • By kriven88 9th May 18, 5:24 PM
    • 3 Posts
    • 0 Thanks
    kriven88
    • #3
    • 9th May 18, 5:24 PM
    • #3
    • 9th May 18, 5:24 PM
    Thank you. But my wife's property is owned by herself and her father . Do I still pay standard stamp duty + extra SDLT? Thanks
    • Pixie5740
    • By Pixie5740 9th May 18, 5:27 PM
    • 12,109 Posts
    • 17,042 Thanks
    Pixie5740
    • #4
    • 9th May 18, 5:27 PM
    • #4
    • 9th May 18, 5:27 PM
    Thank you. But my wife's property is owned by herself and her father . Do I still pay standard stamp duty + extra SDLT? Thanks
    Originally posted by kriven88
    If your wife's beneficial interest in the property jointly owned with her father is worth more than 40k then the higher rate of SDLT will apply. This is because as a married couple you currently own one property between you and at the end of the transaction you will own two properties i.e. an additional residential property.

    https://www.gov.uk/hmrc-internal-manuals/stamp-duty-land-tax-manual
    • SDLT Geek
    • By SDLT Geek 9th May 18, 7:42 PM
    • 235 Posts
    • 145 Thanks
    SDLT Geek
    • #5
    • 9th May 18, 7:42 PM
    • #5
    • 9th May 18, 7:42 PM
    I agree with the comments above that your purchase is likely to be subject to the higher rates of SDLT because of your wife having a share in a property (if it is worth 40k or more).

    But do consider if the replacement exception might apply. Has you wife owned (or had an interest in) a property which she has lived in and has since sold or otherwise disposed of?
    • kriven88
    • By kriven88 9th May 18, 7:46 PM
    • 3 Posts
    • 0 Thanks
    kriven88
    • #6
    • 9th May 18, 7:46 PM
    • #6
    • 9th May 18, 7:46 PM
    No . Me and my wife have been renting for the last 3 years before which she was living at her parents (which she co owns with her dad )
    • G_M
    • By G_M 9th May 18, 8:32 PM
    • 44,049 Posts
    • 52,159 Thanks
    G_M
    • #7
    • 9th May 18, 8:32 PM
    • #7
    • 9th May 18, 8:32 PM
    As explained above, the additional SDLT will apply unless your wife's share of her jointly owned property is less than 40K.
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