Post Completion

Question 1

Steps required by buyer’s solicitor

Answer 1

Pay SDLT/LTT
Register charge at companies house (if applicable)
Register transfer at Land Registry

Question 2

When must SDLT be paid

Answer 2

Within 14 days of completion to avoid penalties

Question 3

What does solicitor get after paying SDLT?

Answer 3

SDLT5 certificate

Question 4

When must solicitor involve Companies House?

Answer 4

When acting for a buyer who is a company taking a loan secured by legal charge

Question 5

When must legal charge for loan taken out by company be registered?

Answer 5

Within 21 days, beginning day after creation of charge

Question 6

What happens if legal charge is not registered at companies house?

Answer 6

Charge is void and lender not protected
Loan immediately repayable
Likely negligence by solicitor

Question 7

Deadline for registering transfer at Land Registry for registered land

Answer 7

No deadline as such, but should register before expiry of OS1 search priority period (30 working days)

Question 8

How to register registered title at land registry (form and enclosures required)

Answer 8

AP1 form, with below docs
- TR1
- SDLT5
- DS1 to discharge seller’s mortgage (if applicable)
- mortgage deed in favour of lender
- certificate of registration of charge at CH (if relevant)
- death certificate for deceased joint proprietor if seller is sole surviving tenant in common

Can apply by post or on online portal

Question 9

Deadline for registering transfer at land registry for unregistered land

Answer 9

Within 2 months of transaction

Question 10

Docs/form needed to register transfer of unregistered title at land registry

Answer 10

Form FR1 - with below docs

• TR1
• SDLT5
• DS1 to discharge seller’s mortgage (if applicable)
• mortgage deed in favour of lender
• certificate of registration of charge at CH (if relevant)
• death certificate for deceased joint proprietor if seller is sole surviving tenant in common
• epitome of title deeds
• results of Central Land Charges (K15) searches

Question 11

When does legal ownership pass?

Answer 11

Upon registration

Question 12

How to register transfer of unregistered title

Answer 12

By post only - cannot use online portal

Question 13

When does principal private residence exemption apply (CGT)

Answer 13

Seller owned one home and lived in it as main residence
Property has not been let out
Has not been used for business
Grounds less than 5000 square metres
Did not buy property just to make a gain

Question 14

Steps to calculate chargeable gain

Answer 14

Consideration received
- minus cost of asset
- minus allowable expenditure
= chargeable gain

Question 15

Allowable expenditure for CGT purposes

Answer 15

Costs of disposal
Money spent on enhancing value
Costs of purchasing

Question 16

Rates of tax for CGT on property where principal private residence exemption does NOT apply

Answer 16

Basic rate tax payer - 18% on gain
- if gain + income takes them over £50k then 28% on the rest

Higher rate tax payer - 28% on gain

Question 17

When is CGT payable

Answer 17

On or before 31 January following the tax year in which disposal occurs