How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask bigduckontax Your Own Question
bigduckontax, Accountant
Category: Tax
Satisfied Customers: 3816
Type Your Tax Question Here...
bigduckontax is online now

Is it possible to mitigate sdlt stamp duty land tax on the

Resolved Question:

Is it possible to mitigate sdlt stamp duty land tax on the purchase price being paid on a development property being bought from my Parents, residential, or a way to defer it until the development is completed, and or completed and sold ?. The price is for the valuation of the land with planning currently, but the debt on the property exceeds this in total if enforced with my company debt charge, the company is buying the property to develop to help recover its money.
Submitted: 1 year ago.
Category: Tax
Expert:  bigduckontax replied 1 year ago.
Hello, O am Keith, one of the experts on Just Answer, and pleased to be able to help you with your question. Please tell me where in the UK is the land situated. Once I know this I can advise you further.
Customer: replied 1 year ago.
Hello Keith,Thank you, ***** ***** is in the West Midlands, UK, central Birmingham.Look forward to hearing from you
Expert:  bigduckontax replied 1 year ago.
Stamp Duty Land Tax (SDLT) is payable on the consideration passed to purchase a property and is paid by the buyer. Under normal circumstances it cannot be deferred unless the quantum of the consideration is unknown or subject to change which is not the case here. I am so sorry to have to rain on your parade.
Customer: replied 1 year ago.
Thankyou for your answer most helpful,Can you tell me if we have a debt on the property which is via legal charge registered a long time ago, and that is worth more then the property is currently worth, but unable to be quantified until it goes to court to recover the full sums due, if that makes the consideration, say at 1 Pound to acquire the debt charged property, the point where the stamp duty is payable on the 1 pound ?our charge exists since 2003 incorporation of the company days and when the charge was registered on the property, it is in excess of what anyone would pay for the property in the current market and we would be willing to buy to recover part of our debt instead of nothing, there is also a first charge which we would have to pay directly to the lender.Can you assist with your expertise please ?Thank you
Expert:  bigduckontax replied 1 year ago.
I fear that there is danger here that the Stamp Office will base the SDLT payable by the buyer on the current market value.
bigduckontax and other Tax Specialists are ready to help you
Customer: replied 1 year ago.
Thank you, ***** *****
Expert:  bigduckontax replied 1 year ago.
Delighted to have been of assistance.

Related Tax Questions