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Where Taxpayers and Advisers Meet

Additional stamp duty

AM2017
Posts:1
Joined:Sat Apr 01, 2017 8:37 am
Additional stamp duty

Postby AM2017 » Sat Apr 01, 2017 8:55 am

Can someone please help me clarify the position with regards to the 3% ADS charge:

Husband and I live togeather in our family home with our two children, have done since 2012.

Prior to that we lived in our previous home which I bought in 2006. In 2010 I bought a BTL- never lived there has always been rented.

When we moved to our current home in 2012 the transaction was completed in my husbands name only- our previous home that I owned solely but was both my husband and mines main dwelling was rented and sold last March to free up some cash.

We now want to sell our current home and buy a new one however are being told by our solicitor and revenue Scotland that because I have the BTL and I'm not named on the title on our current house I'll have to pay the 3% because when we move I'll be buying an additional home- but when looking at Revenues Scotland guidelines there's no mention of having to be on the title deed to prove a property is your main dwelling- I am registered to vote at my main dwelling, my children live with me at my main dwelling , bank accounts etc are all registered at my main dwelling.

I'm at a loss- if my home which I have lived in for five years , even though not on the title, is not my main dwelling then where is? At the end of the transaction I will have only one main dwelling- pulling my hair out! any proper advice very welcome!!

Thanks,

A

someone
Posts:692
Joined:Mon Feb 13, 2017 10:09 am

Re: Additional stamp duty

Postby someone » Sat Apr 01, 2017 6:58 pm

you do not have to pay the higher rate stamp duty.

in another land transaction (“the previous transaction”) whose effective date was during the period of three years ending with the effective date of the transaction concerned, the purchaser or the purchaser’s spouse or civil partner at the time disposed of a major interest in another dwelling (“the sold dwelling”),

at any time during that period of three years the sold dwelling was the purchaser’s only or main residence, and

Your spouse is disposing of a major interest and it was both of your main residences. A husband and wife can only have one main residence.

maths
Posts:8507
Joined:Wed Aug 06, 2008 3:25 pm

Re: Additional stamp duty

Postby maths » Mon Apr 03, 2017 5:08 pm

Whilst there are differences between SDLT and LBTT I believe that with respect to your post the ADS will not be in point as the new purchase will fall to be treated as a replacement for your current sole/main residence (despite ownership of a BTL).


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