SDLT – Transfer of equity and remortgage

Property Tax, Stamp Duty Land Tax

Mr A and Miss B, who were not married, wished to rearrange their financial affairs.  The main residence which they shared and which had been funded by Mr A, was valued at around £900,000. The existing mortgage was £800,000 and the couple were looking to move it to...

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SDLT – Multiple dwellings relief and sale and leaseback relief

Property Tax, Stamp Duty Land Tax

A building consisting of two floors of offices above a shop was owned by the trustees of a small self-administered pension scheme (SSAS).  The trustees, Mr and Mrs J, owned the freehold in their capacity as trustees and were also the beneficiaries of the SSAS which had been set up by their employer (E Ltd).

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SDLT – Transfer of property to a pension fund

Property Tax, Stamp Duty Land Tax

A commercial property had been acquired in January 2012 by Mr and Mrs P.  The purchase was financed by a loan from ABC Limited, a company in which Mr and Mrs P owned 100% of the shares.  By December 2012 the property had a market value of around £500,00 and Mr and Mrs P had been advised that the property be transferred into their pension fund.

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SDLT – Rate of tax?

Property Tax, Stamp Duty Land Tax

A company was buying a development site with planning permission to construct eight houses for just over £2 million.  The site was being sold by a single vendor and was made up of one existing house and its garden plus three abutting back gardens.

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SDLT – UK land held in a JPUT

Property Tax, Stamp Duty Land Tax

A Jersey Property Unit Trust (‘JPUT’) owned an industrial site in the UK.  JPUT had received an offer for part of the site and the purchasers wanted to minimise SDLT on the acquisition. Advice was sought on whether it was possible to achieve this by JPUT issuing additional units to the existing unit holders in proportion to their existing holdings.

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SDLT – Linked transactions

Property Tax, Stamp Duty Land Tax

In December 2006 the parents of RB bought a flat for £400,000.  The flat was acquired as joint tenants by RB, his father and his mother. The purchase price was provided by RB’s parents and SDLT was paid on that figure.  At the time of acquisition it was agreed that RB would pay his parents £133,333.33 (one third of the total purchase price) for his share.

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SDLT – Group relief Q&A

Property Tax, Stamp Duty Land Tax

The client is non-resident (he lives in Ireland).  He owns 100% of a UK company(‘UK Co.’) which in turn owns various UK properties which are all mortgaged.  The client has been advised by his Irish lawyer to exchange his shares in UK Co. for shares in a new Luxembourg company (‘Lux Co.’).

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SDLT – Two LLP scenarios

Property Tax, Stamp Duty Land Tax

Scenario One

A Limited Liability Partnership owns a portfolio of UK properties which are let.  Two unconnected individuals are the members of the LLP.  A company (‘Co’) connected with one of the individuals has lent the LLP £500,000 at some time in the past.

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