Would there be an additional stamp duty land tax liability?
Question
I purchased my home using the ‘key worker’ scheme and when I brought it was valued at £163,000. I purchased an additional percentage of the share last year using the ‘stair casing’ scheme, and this year I am purchasing the remaining percentage, so I will then be paying the mortgage as the sole owner. However, house prices have gone up and the house is now valued at £260,000, although I am only buying the remaining 12% so I now own the total 100%. Am I liable to pay stamp duty land tax? We live in a deprived area so we may be in the exemption area (i.e. Dagenham RM9)
Arthur Weller replies: If you look at www.gov.uk/government/uploads/system/uploads/attachment_data/file/508272/GuidanceNote_Final.pdf (question 16 on page 26), you can see that if this is the only residential property that you own, you will not have to pay the additional 3% stamp duty land tax. |