• Transfer Of Equity Between Relatives STLD/tax Issues

    By Guest on 13th Aug 2016

    My father gifted his house to myself and my sister in 2000 (50/50 split) via a transfer of equity. He continued to live there until 3 yeqrs ago since when he has had to be cared for in a residential home.Initially we rented the house out but the tenant is due to leave and there is no prospect of my father returning to live in the house .

    The house is worth approximately £115000.

    If I were to gift my 50% to my sister via a transfer of equity (either free or for a nominal or below market value amount) what STLD or other taxes would either of us be liable for, if any? We each also have our own family homes that we live in with our husbands/children.

  • 1 Answers

    By Guest on 17/08/2016

    Stamp duty is paid on the actual "consideration" paid for a transaction (i.e. money, other property, the assumption of debt etc). The value of the property is irrelevant. So, if your sister paid you less than £40,000 then there would be no stamp duty to pay and no requirement to submit a return to HMRC or to notify them

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