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There will be a Stamp Duty levy on the mortgage document. However, who pays in the end is up to the pair of you although you are legally liable for your share until the duty is settled.
Unfortunately, yes, any change to the mortgage deed can trigger another tranche of the duty.
Have a look here for full chapter and verse on this matter:
You are, however, talking of duty on the share being changed.
Yes, you will.
Every time a mortgage deed is changed there can be a liability to the duty. If this is not paid then the document will be invalid. It was this invalidity and its like which was the cause of the Boston Tea Party and ultimately the American Revolution.
The Stamp Duty.
When the property is ultimately disposed of. A cautionary tale: a man bought a flat for his child to live in at uni and ultimately the son remained in residence for years after. When it was finally sold the parent found himself with a 36K CGT bill for a property he had never occupied or enjoyed.
No, because the gain will be computed using the current market values at the time of the grant and the loss.
I am sorry, but I do not follow your argument. What is the real possible sale and acquisition value?
Right, your liability will be based on a 100K notional gain. From this can be deducted your non cumulative Annual exempt Amount (AEA), currently 12K, leaving 88K. This will be taxed at 18% or 28% or a combination of the two rates depending on your income including the gain in the tax year of disposal. A worst case scenario would be a tax bill of a tad under 25K.
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