My client sold a commercial property he owned to a company in which he is majority shareholder (as part of a bank enforced debt restructure). He sustained a capital loss on this. A condition of the deal was that the property was to be revalued five years after the sale and the company would have to pay my client 50% of any uplift. As there was no way of projecting what uplift if any would arise at the date of the contract, it was returned at the market value at the date of transaction. If there is an uplift and the company pays an additional sum is there a stamp duty liability as the condition wasn’t contained in the original contract but in a “side letter”. If yes does the stamp duty become payable at the date of the second payment or the date of the original contract.
Marked as spam