We rent our primary home in the UK, however own a holiday property in Europe.
Am I right in thinking, that based on current regulations, if we were to buy a property in the UK we would need to pay the additional stamp duty as it would be deemed a second property?
Could I just transfer ownership or gift the holiday home (to my child for example) in order to remove the additional duty?
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Stamp duty when owning holiday home overseas
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- The full Lemon
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Re: Stamp duty when owning holiday home overseas
FYI, you might be interested in a recent thread I started on a related question, and some of the issues that were raised by attempts to finesse the extra stamp duty on a second home:
viewtopic.php?f=49&t=14251
That said, if the gift to a child is a genuine one, then I do not see why that would not work, as long as you no longer derive any benefit from that holiday home.
The other idea, as I raised in the cited thread, is that each of the two homes could be held solely in the name of just one spouse.
viewtopic.php?f=49&t=14251
That said, if the gift to a child is a genuine one, then I do not see why that would not work, as long as you no longer derive any benefit from that holiday home.
The other idea, as I raised in the cited thread, is that each of the two homes could be held solely in the name of just one spouse.
Re: Stamp duty when owning holiday home overseas
Thanks for the link, seems like it generated quite a bit of discussion!
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- The full Lemon
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Re: Stamp duty when owning holiday home overseas
Indig0 wrote:Thanks for the link, seems like it generated quite a bit of discussion!
I almost think there might be a business opportunity for people who do not own a property to "lend" their entitlement to a lower stamp duty rate to those who already own a home and are buying another. So for a fee I offer to buy a property and then later gift or bequeath it to you.
In any event I do wonder how much gifting back and forth of properties is going on because the government has chosen to make stamp duty so personalised, discriminatory and arbitrary.
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