Selling a share of a house

by **Izz31** on Tue Jan 18, 2011 7:21 am

Stamp duty when selling a share of a house - I am selling 80% of the value of a house I own to my daughter and husband for 125k.They already live in the house .The mortgage is 125k -80% mortgage . I have a deed of trust for my 20%. Do they have to pay stamp duty on the 125k ?

by **section 44** on Tue Jan 18, 2011 11:17 am

The question isn't clear.

Izz31 wrote:selling

This suggests (future tense) that it hasn't yet been done, but:

Izz31 wrote:I have a deed of trust for my 20%

This suggests that it has been done, such that you did own 100% and now own only 20%.

No stamp duty land tax is payable because it does not exceed the £125k threshold. However an SDLT return needs to be submitted. If, in the future, you transfer the remaining 20% to them (or anybody connected with them) then this may be a linked transaction that would bring this transaction into charge.

by **Izz31** on Tue Jan 18, 2011 12:23 pm

Thanks for yor reply. I have done the paperwork for the Deed of trust . We hope to complete the sale soon. The mortgage lender has put the value of the property as 160k on the letter to the solicitor.