Publicly available tax advice from HMRC rules out the supposed “advice” Rayner received in relation to her SDLT payment on the purchase of her third home in Hove.
On simply worded Gov.uk guidance titled “Guidance: Higher rates of Stamp Duty Land Tax” Rayner’s exact situation is advised on:
“What property the higher rates apply to
When you know who the rules apply to, you should work out how many residential properties each of you will own at the end of the day of your new purchase.
If any of you will own, or part own more than one residential property worth £40,000 or more, you will have to pay the higher rates on your new purchase (unless there is another reason why the higher rates do not apply).
Include any residential property that:
- is owned on behalf of children under the age of 18 (parents are treated as the owners even if the property is held through a trust and they are not the trustees)
- you have an interest in as the beneficiary of a trust
Include your current home, if you still own it at the end of the day you buy your new home.”
Shoosmiths have confirmed they did not advise Rayner on the matter. Who did?
Generous hacks have said the tax situation is extremely complex – it is spelled out here in black and white. Did Rayner not check the online advice when claiming a wrongful £40,000 discount?
