3% SDLT surcharge

[someone]

And the current residence automatically became 'the only or main residence' at the moment the other was sold. The fact that the op intends to sell it doesn't affect that determination.

That is not correct. There is a difference between occupation and residence.

Before a property can be an only or a main residence it first has to be a residence. Just because a person owns a house does not mean that he (or she) owns a residence.

I agree that there is a difference. But it's possible to have two residences (homes). And if you do have two residences and sell one then you now are left with an 'only or main residence'

The OP doesn't make it clear whether they had two homes or not.

[bd6759]

Yes. If the wife's house was already a residence it will remain a residence. But that was not stated in the OP.

[someone]

Yes. If the wife's house was already a residence it will remain a residence. But that was not stated in the OP.

The OP used 'home' rather than 'house' or 'property'. That may or may not have significance.

If it was once his wifes home (perhaps before marriage) then she will get PPR for the last 18 months anyway. So I wondered whether, perhaps they had had two homes.

If it was his wifes home but never his, it would work best if it was their PPR when she gives him a share. But I would assume that the current occupation isn't going to satisfy that even though the wife will get PPR relief during this period.

[MazzaMc]

We were married in 2008. Bought house in wife's name only in 2015 for her to use whilst visiting/caring for elderly mother. It has never been rented out.

We have never made an election.

[someone]

The question you have to answer is 'was this a second home?'

There's no definitive test. Was it furnished as a home would be or did your wife live out of a suitcase? Did you have telephone and internet connected (or, if you do everything by mobile, was that true at your other home too)?

Was the property paying 'second home' council tax?

When you sold your other home did you dispose of furniture (or put it into storage) or did you move it into the other place? I'd expect there to be duplication (especially things like washing machines, dishwashers, fridges where few people have a need or use for two in the same home) - some of these white goods may have been sold with the house. Beds and wardrobes are other items where you usually expect to have spares when reducing your number of homes.

[MazzaMc]

We considered it to be a second home. It was fully furnished.

Both homes had/have landline and broadband.

The Council Tax was paid by her as a single occupant. Wasn't aware there is a "Second Home Council Tax". Have looked on the Council's website but can't find anything relating to this.

When we sold our other home we moved some furniture into her home to replace things, sold some items and gave some away. All white goods were integral so they were sold with the house.

Thank you for your advice.

[bd6759]

Based on that, I'd say it became your residence when you moved in.

You can only have one PPR at a time, so CGT will still be an issue, time apportioned.

I still think you are OK with the 3% because you have disposed of a residence and have not, in the interim, acquired an interest in another residence. That might change if you acquire a share of your wife's house.