I am about to buy a house and bridge while I sell my exist house (yes, I know!!). They will be my main residence, so I will need to pay the 3% stamp duty surcharge and claim it back after I sell my existing house. However.... I also already own a holiday let - will this prevent me from getting a rebate?
Stamp Duty on main residence & a holiday let
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The rules are based on the number of properties you own at the end of the transaction rather than the purpose of the property.
There's a transitional arrangement where someone has sold their residence and not bought a new one when the rules were introduced, but I don't think that would apply here.When I post, I am expressing an opinion - feel free to disagree, I have been wrong before.
Please don't act on my suggestions without checking with a grown-up (ideally some kind of expert).
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by rugbyroomDear Forum,
When I purchased a property back in 2007, I had an upstairs bedroom converted into a small kitchen and bathroom to create a self contained ground floor flat and a second kitchen / bathroom for the other 3 bedrooms upstairs to use.
The council had no issue with the...-
Channel: Tax Questions
28-06-2022, 11:16 AM -
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by Sydatondo you have an opinion, Gordon999, as to whether,they can claim the original cost of the kitchen install against their CGT as well?...
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Channel: Tax Questions
29-06-2022, 16:19 PM -
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Hi,
Around 10 years ago, I bought my first property to live in. My dad helped me out and paid a 50% deposit to get me on the ladder. I'm listed as the owner on the summary of title land registry documents under the leaseholder/freeholder section.
After living in the property for...-
Channel: Tax Questions
28-06-2022, 21:20 PM -
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by Gordon999R-2022,
In #2 , I proposed the "company" buys the property from you and the company becomes the owner of the property. The Company has no funds and borrows the £240K ; 50% mortgage loan from Bank and 50% loan from you ( director's personal loan ). The bank loan is...-
Channel: Tax Questions
29-06-2022, 15:07 PM -
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by DoricPixieThere’d be no point in attempting it as a married couple but unmarried couples would also be in for a nasty surprise since HMRC consider getting to occupy the property in such circumstances as a benefit....
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Channel: Tax Questions
29-06-2022, 15:00 PM -
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by jpkeatesIt's very unusual for a lender to be prepared to lend on a joint basis against a property owned by only one of joint borrowers.
And the additional SDLT would be payable if the two people were married anyway.
I can't imagine there are many instances of this ever happening.-
Channel: Tax Questions
29-06-2022, 13:38 PM -
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Gordon999,
Good point on #1, I haven't calculated the capital gain, but I suspect it'll be more than £20K.
#2 sounds complicated - is this relatively straightforward to do with most lawyers?
"It's why those couples who try to circumvent the higher rate of SDLT rules...-
Channel: Tax Questions
29-06-2022, 13:20 PM -
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by Gordon999R-2022
1. Have you calculated how much capital gains tax is payable after sale of the "first property" ? Since you lived at the property for a few years , the capital gain during " period of own residence" is not taxed.
So you pay tax on " the...-
Channel: Tax Questions
29-06-2022, 11:31 AM -
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by DoricPixieHer solicitor, who will most likely also be acting for the mortgage lender, will want to know the source of the funds for the deposit. Not all lenders will accept a gifted deposit coming from someone who will live in the property but not named on the mortgage.
Yes because...-
Channel: Tax Questions
29-06-2022, 09:55 AM -
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