Higher SDLT when owning foreign property but having no main home

Higher rates apply for Stamp Duty Land Tax (SDLT) when purchasing a residential property if this will not be the only residential property that you own anywhere in the world; as of July 2024 the additional rate is 3%. In the guidance from HM Revenue & Customs (https://www.gov.uk/guidance/stamp-duty-land-tax-buying-an-additional-residential-property) it is stated the higher rates do not apply to people if (1) the new property will be used as their main home, and (2) the last main home they owned, before buying the new one, have sold or given away. In the case where the person (a) is a UK resident; (b) the foreign property is therefore not the main home (given the person resides, and is domiciled, in the UK); and (c) the person does not currently have a main home (because she is renting within the UK) hence there is no main home to give away; then would the higher SDLT rates apply if the person purchased a UK property as their main home?

Hi,

Please contact the Stamp Duty Land Tax team for advice.

Stamp Duty Land Tax

Thank you.

Hi JJ FM, I have exact scenario like you mentioned above, can you please suggest on the reponse you got from HMRC on this? Thanks in Anticipation.

Hello, wondering if anyone got a reply to this yet? I have the exact same scenario..

Me too. Please can someone answer as there are quite a few that want to know.

Buyers who've never had main residence will have to pay additional rate stamp duty I got given the below links from an HMRC email address which they asked me to email https://www.gov.uk/hmrc-internal-manuals/stamp-duty-land-tax-manual/sdltm09800 https://www.gov.uk/hmrc-internal-manuals/stamp-duty-land-tax-manual/sdltm09805