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Clare
Clare, Solicitor
Category: Law
Satisfied Customers: 34263
Experience:  I have been a solicitor in High Street Practice since 1985 with a wide general experience.
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I want to buy a house spending upto 70.000 pounds from my savings

Resolved Question:

I want to buy a house spending upto 70.000 pounds from my savings for my son in his name for him to live in for a couple of years then have him sign it back to me can i do this without either of us being taxed?
Submitted: 1 year ago.
Category: Law
Expert:  Alex J. replied 1 year ago.
Hi,
Thank you for your question and welcome.
My name is ***** ***** I will assist you.
When you sell your home you have private residence relief and therefore your son may be able to benefit from this when he transfers the property back to you. https://www.gov.uk/tax-sell-home
The only issue you have is if the property becomes worth more than £70k, you will need to pay Stamp Duty Land Tax on it, even if the notional transfer figure back to you is zero.
Kind regards
AJ
Customer: replied 1 year ago.
Hi you haven't really answered my question can I buy a property upto 70,000 for my son without any tax implications?
Expert:  Alex J. replied 1 year ago.
Hi, Thank you. Are you going to lend him the money or gift it to him?
Customer: replied 1 year ago.
The property would be signed back to us after a couple of years so what would you suggest lending or gifting?
Expert:  Clare replied 1 year ago.
HiThank you for your questionMy name is ***** ***** I shall do my best to help you.Assuming that you survive at least 7 years after the gift then there are no Inheritance Tax considerations involved.At the time that he returns the property to you then D+Capital Gains Tax should not be payable as it will have been his home for the previous three years at least.I hope that this is of assistance - please ask if you need further details
Clare, Solicitor
Category: Law
Satisfied Customers: 34263
Experience: I have been a solicitor in High Street Practice since 1985 with a wide general experience.
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