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Where Taxpayers and Advisers Meet

Advice please: SDLT on a joint purchase

Saiph
Posts: 3
Joined: Thu Apr 25, 2019 3:13 pm

Advice please: SDLT on a joint purchase

Postby Saiph » Thu Apr 25, 2019 9:14 pm

Hi, new poster here, please forgive any errors.

So, I'm sorry if this has been answered elsewhere. I've searched through a lot of SDLT threads on the internet and what I've read didn't help me to understand.

Here's the background.

1. Buying jointly with a partner
2. The house value is 190k, an all-cash purchase
3. His first purchase, my second - I'm holding onto my flat
4. SDLT if we buy jointly is £7000

Here's the question:

If he were to buy it in his name only (resulting in a lesser stamp duty bill), and then transfer half of the ownership to me at a later point (namely equity to the value of £95k) - would that be a more tax efficient way to do things?

Or would we incur stamp duty once the transfer of ownership was made?

As you can see, I am not an expert and have been getting conflicting information on this for a few days now. Obviously, I'm trying not to run afoul of the rules here!

Any advice you could provide is very much appreciated, thank you.
S

bd6759
Posts: 3035
Joined: Sat Feb 01, 2014 3:26 pm

Re: Advice please: SDLT on a joint purchase

Postby bd6759 » Fri Apr 26, 2019 10:50 pm

Who is paying for it?

SDLT Geek
Posts: 153
Joined: Sun Apr 30, 2017 5:45 pm

Re: Advice please: SDLT on a joint purchase

Postby SDLT Geek » Sat Apr 27, 2019 9:19 am

You could refer to the replies to the same question here https://forums.moneysavingexpert.com/showthread.php?t=5994585 from which it is clear that the partner does not have the means to buy the property alone anyway.

bd6759
Posts: 3035
Joined: Sat Feb 01, 2014 3:26 pm

Re: Advice please: SDLT on a joint purchase

Postby bd6759 » Sat Apr 27, 2019 10:02 am

Will you keep asking until you get the answer you want.

Saiph
Posts: 3
Joined: Thu Apr 25, 2019 3:13 pm

Re: Advice please: SDLT on a joint purchase

Postby Saiph » Sat Apr 27, 2019 5:05 pm

bd6759:
"Who is paying for it?"
We both are.

"Will you keep asking until you get the answer you want."
Would you like a sarcastic answer?

SDLT Geek:
"You could refer to the replies to the same question here "
Deja vu? That's also my thread! I posted it in two separate places to try and get a few answers.

"...from which it is clear that the partner does not have the means to buy the property alone anyway."
Is that another way of saying that because he can't buy it without me giving him some financial help, he shouldn't buy it on his own with a gift from me, if I plan to live there as well... right?

bd6759
Posts: 3035
Joined: Sat Feb 01, 2014 3:26 pm

Re: Advice please: SDLT on a joint purchase

Postby bd6759 » Sat Apr 27, 2019 6:43 pm

Is that another way of saying that because he can't buy it without me giving him some financial help, he shouldn't buy it on his own with a gift from me, if I plan to live there as well... right?
No. In the context of the post on the other forum, its another way of saying that if you are purchasing a property jointly you cannot pretend that you are not.

Saiph
Posts: 3
Joined: Thu Apr 25, 2019 3:13 pm

Re: Advice please: SDLT on a joint purchase

Postby Saiph » Sun Apr 28, 2019 9:56 am

"No. In the context of the post on the other forum, its another way of saying that if you are purchasing a property jointly you cannot pretend that you are not."
The question is exactly the same in both forums - there is no 'pretending' here.


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