Main Residence Definition

[uniqua30]

Hi

I have lived with my partner for 10 years in the same house, however I do not have a financial interest in the property and am not named on the mortgage or on the deeds. However I also own one other property which I rent out as a buy to let. I've never lived in this property and it was bought approx 4 years ago. My partner also has BTL's but only in his name. I'm registered to vote at the property of 10 years, driving licence is registered here, HMRC for self assessment have me registered here, council tax is here, car registration is registered here and so on, basically everything is registered at this address of 10 years. Although my partner and I aren't married we are engaged to be married but with no set wedding date - not sure if this matters but I've heard so much conflicting advice! Aargh!

We have sold our house which we have lived in for the last 10 years and have had an offer accepted on another property which we intend to live in.

I've been given conflicting advice from solicitors and the HMRC Stamp Duty helpline about whether we should be paying the higher rate SDLT. One HMRC person said the HMRC would not have any interest in my rented property as I am replacing my main residence and the lower rate applies whilst another has said that because we aren''t married the higher rate applies. One solicitor insists that the higher rate applies and the other has made no comment on the higher rate applying even though we have additional properties.

Can anyone advise what the definition of main residence is? Is it correct that if we were married the higher wouldn't apply.

I am simply going round in circles and given the fact that the higher rate is an additional £12k which isn't a couple of quid.

Any advice greatly appreciated.

Thanks

Helen

[SDLT Geek]

It is clear that the house you have lived in for 10 years is your main residence. It is also clear that if you have no share in that property then (as things stand) you cannot rely on the sale of that property to get you within the replacement exception from the 3% surcharge. Because you have another property (presumably worth £40K or more), if you are a joint buyer of the new place then it sounds as if the 3% surcharge will be due. But here are some ideas:

1. Bite the bullet and marry before the sale of your main residence. Then you can rely on your spouse's sale.

2. Take no share in the new residence, but replicate the present arrangements.

3. Sell your investment property first.

4. See if your property owning history saves you. For a start, have you ever owned a property you have lived in? Will the upcoming purchase complete by 26 November 2018?