Goldie said:I have been asked by a number of friends how revenue would know you have rented the property
FilthyRich said:Do I owe stamp duty clawback? If so, can someone please calculate how much?
FilthRich said:Up until last night I thought it was only payable if you were selling within five years of purchase. I don't intend to sell my property.
Okay, I'm having a minor stroke reading this post.
I bought an apartment in December 2002 for €187600. I was a First Time Buyer so I didn't have to pay stamp duty. I lived in it until August 2005. It has been rented out since then.
I thought that once I had registered with the PRTB and was declaring my rental income, that was all I needed to do to fulfil my tax and landlord obligations.
I never even heard of stamp duty clawback til a couple of months ago. Up until last night I thought it was only payable if you were selling within five years of purchase. I don't intend to sell my property.
Do I owe stamp duty clawback? If so, can someone please calculate how much?
This is a widely held misconception. I have two friends who believe it to be true. One is a trainee solicitor, the other is a qualified solicitor.
You should get some information here:
Now can anyone explain this to me: If I decided to sell the apartment within the five year period, I wouldn't have to pay stamp duty clawback. Therefore, do I not have a five year period in which to decide whether I'm going to sell or not? Surely, no clawback should be required before this five-year period has expired?
If I was you I'd contact an accountant/tax advisor for advice before contacting Revenue.If i was you i would contact the revenue,before they contact you i'm sure they will deal with you sympathetically.
Just curious, what happens if FilthyRich decides to move back into the property and then sells it at a later date?
With all anti avoidance systems intoduced into legislation you must look at the reason behind the need for a clawback provision then you will fully understand how it works
The stamp duty clawback rule is to avoid abuse of the relief given to owner occupiers of new properties under 125sq mts. Without the clawback you would get investors buying poperties claiming occupation, staying for one night and then renting out. Thereby ensuring no stamp duty cost.
Therefore, logically it does not apply should you decide to sell, the five year period to me is a mute point it could be lowered, maybe a year or two would be appropriate?
With all anti avoidance systems intoduced into legislation you must look at the reason behind the need for a clawback provision then you will fully understand how it works
The stamp duty clawback rule is to avoid abuse of the relief given to owner occupiers of new properties under 125sq mts. Without the clawback you would get investors buying poperties claiming occupation, staying for one night and then renting out. Thereby ensuring no stamp duty cost.
Therefore, logically it does not apply should you decide to sell, the five year period to me is a mute point it could be lowered, maybe a year or two would be appropriate?
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