1st time UK buyer and stamp duty?
10:55 AM, 21st May 2019, 7 years ago
4
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My Son lived at home with us in Surrey until he went to work in Canada 9 years ago. He bought a home there.
He has now returned to the UK after selling up in Canada and has bought a home in Yorkshire. He was charged 3% stamp duty.
QUESTION: As he is a first-time buyer in UK should he have been charged this tax?
Many thanks
Pixyprops
Editors note: please see the flow chart below and the maximum term for a refund is now 3 years not 18 months.
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Member Since February 2011 - Comments: 3454 - Articles: 286
10:59 AM, 21st May 2019, About 7 years ago
If your son is British and resident in the UK I do not see why he paid the extra 3% stamp duty surcharge unless he owned a home in Canada at the time.
However, now with proof of sale I would request a refund from HMRC as per the flow chart above.
Member Since September 2015 - Comments: 240 - Articles: 1
12:10 PM, 21st May 2019, About 7 years ago
If he’s previously owned a property overseas he’s not a first time buyer so he should pay 2% on any portion of the price above £125,000. More if over £250,000. He should not pay the 3% second home charge as others have rightly said
Member Since April 2017 - Comments: 17
3:34 PM, 21st May 2019, About 7 years ago
Assuming that he has actually sold his house in Canada then the answer to the first box is 1. So whether the first ( now sold ) house was bought in Canada or the UK is immaterial. Also the new house is a replacement for his main resident so under both conditions he should not pay the 3%. If the sale of the Canadian house is still going through then he should pay but be able to claim it back after the sale. Simples.
Member Since September 2016 - Comments: 20
8:33 PM, 25th May 2019, About 7 years ago
Many thanks for your help and all the replies. It appears he is liable for 2%