2nd property: stamp duty question in relation to first which Ill rent out.

[valley]

hi all,
Bought my first property 3 years ago now, price 170k.

I have lived in it until I bought a new house for 200k 3 months ago. I have now moved into the new house and rented out the older house as of last week.

I have not paid stamp duty on either house, but as I am renting out my old house I need to register it for tax.

I want to move my mortgage intestest relief to my new house which is my primary residence, but do I have to pay stamp duty now on my first house as it is rented?

I am unsure of this as i have spoken to two accountants one who says that i don't have to pay stamp duty and the other who says I do

.. any advice would be really appreciated.

 

[WaterSprite]

Re: 2nd property: stamp duty question

Is your question in relation to the first house? Can you confirm if/why it was exempt in the first place?

If it was exempt when you bought it and you rented it out after 2 years of ownership AND after Dec '07, then you are not liable for stamp duty. See [broken link removed] (revenue site) for info

Sprite

 

[valley]

Re: 2nd property: stamp duty question

Is your question in relation to the first house? Can you confirm if/why it was exempt in the first place?

If it was exempt when you bought it and you rented it out after 2 years of ownership AND after Dec '07, then you are not liable for stamp duty. See [broken link removed] (revenue site) for info

Sprite

thanks for the reply, yes this in relation to my first house,My first house was exempt from stamp duty as it was only 170k in 2005 which made it exempt from stamp duty as it was under the bracket for stamp duty.and it is was not rented until last week 8th sept 08'

 

[WaterSprite]

Re: 2nd property: stamp duty question

By that info, then there would be no SD clawback payable from what I know. Am surprised that an accountant told you otherwise - did s/he say why?

Sprite

 

[valley]

Re: 2nd property: stamp duty question

By that info, then there would be no SD clawback payable from what I know. Am surprised that an accountant told you otherwise - did s/he say why?

Sprite

the only thing I can think of when I was talking to the accountant that said I needed to pay stamp duty maybe he thought that I had the first house rented out since the start when I bought it. I think that would mean that I would have to pay stamp duty then. I only spoke to him briefly on the phone
to arrange and appointment, I Then spoke to a friend who is a newly qualified accountant who told me I did'nt need to pay stamp duty, so maybe a mix up..