• Stamp Duty

    By Guest on 15th Jun 2020

    Hi. I current own two properties, one is jointly owned with my mum and the second property is my main residence. I am considering moving from my current property but I am aware I will have stamp duty to pay again, with the additional 3%.
    If I transferred my half of the equity as a gift to my mum, does that mean I can claim the stamp duty back that I paid for my current property? I purchased the property nearly 2 years ago so I am aware of the 3 year rule.
    Also, if I were then to purchase another property in the future, would I avoid paying the 3% extra charge? I am aware that I would have to pay the extra stamp duty initially but I presume this can be claimed back?
    Thank you for any advice you can provide.

  • 1 Answers

    By Guest on 16/06/2020

    The HMRC guidance at para 6.4 says "If a previous main residence is SOLD within 3 years[...] a refund is available". While I do not work for HMRC and cannot confirm how they would interpret that rule, it looks on reading like you would have to sell the other property and not just transfer if as a gift. I would advise you give HMRC a call to check the position.

    If you then purchased another property in the future you would have to pay the higher rate unless you sold your main residence on or before the date you complete the purchase of the new property.

    www.notaryexpress.co.uk

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