Peter Crosland wrote:
If you sold a house to someone for ?1 and they gave you a gift of

?200,000

the next month, you'd probably end up in prison,

For what crime?


If you used such a scheme to evade stamp duty the Inland Revenue would
regard it as a linked transaction. They would impose the tax and penalty as
well and could also prosecute.

It seems to me that you would only be evading stamp duty if there were
some other "backhander" involved.

In other words if the daughter pays only 35K for the property and
nothing else, then this is the price end of story - hence no stamp duty
to pay (there may be inheritance tax implications if the parent dies
within 7 years - but that is a separate issue).

If the daughter pays 35K "officially" but then also pays more money by
some other duplicitous route, taking the "effective" price over the
stamp duty threshold then that would be classed as evasion.


--
Cheers,

John.

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