Tweet
Hello
I wonder if anybody can advise me on an SDLT issue?
My wife and I own two properties jointly with another couple. We are going to transfer our equities so that each couple owns one property outright. No cash will be exchanged, the properties are of the same value. They are 2nd properties that are buy to lets.
We know SDLT is chargeable on the transferred mortgages. But we have been given conflicting information about whether SDLT is chargeable on the equity changing hands.
Is the equity in each property counted as chargeable consideration?
If it is NOT then our SDLT liability will be cut in half.
If the equity is chargeable, as my wife and I will be uplifting our ownership by 25% each, where each 25% share is worth less than £40k, would the equity be exempt from SDLT due to the £40k threshold?
Thank you in advance for any advice you can give
S
I wonder if anybody can advise me on an SDLT issue?
My wife and I own two properties jointly with another couple. We are going to transfer our equities so that each couple owns one property outright. No cash will be exchanged, the properties are of the same value. They are 2nd properties that are buy to lets.
We know SDLT is chargeable on the transferred mortgages. But we have been given conflicting information about whether SDLT is chargeable on the equity changing hands.
Is the equity in each property counted as chargeable consideration?
If it is NOT then our SDLT liability will be cut in half.
If the equity is chargeable, as my wife and I will be uplifting our ownership by 25% each, where each 25% share is worth less than £40k, would the equity be exempt from SDLT due to the £40k threshold?
Thank you in advance for any advice you can give
S
Comment