Is there any stamp duty or capital gains tax to pay if two people permanently swap ownership of there house that are of equal value? That is to say that A Takes legal ownership of B's house and B takes legal ownership of A''s house without any money exchanging hands.

Arthur Says

As far as capital gains is concerned, the Inland Revenue Manuals on page CG13090 say explicitly that there is capital gains to pay, for both parties.

As far as stamp duty land tax (SDLT) is concerned, page SDLTM01410 there says that SDLT is payable. In a connected transfer, things could be worse, with SDLT calculated on the value of both properties combined.

About Arthur Weller

Over 350 consultations successfully completed by Arthur though this site!
Arthur Weller is a Chartered Tax Advisor (CTA) and an integral part of the Property Tax Portal team. He offers a special rate tax advisory service on any aspect of UK taxation, including property taxation, for as little as £97 for a 30 minute telephone tax consultation.

Key Facts:

- Over 90% of queries are answered within 30 minutes and within 3 days!
- Over 300 consultations done by Arthur through this website!
- You pay for the advice after it has been given

Here is what one of our customers had to say:

“Arthur contacted me the next day.  He phoned promptly and offered me clear and concise advice which he referenced to the HMRC website, taking me through section by section and explaining the implications each step of the way.  He also sent me an MP3 recording of the session so that I was able to absorb the information more fully.  I am extremely impressed by his professionalism. Money very well invested as his advice will save me thousands of pounds.  I wholeheartedly recommend his services. Thank you very much.” V. Loughery