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Transferring asset to wife

PeteW
PeteW Posts: 1,213 Forumite
Part of the Furniture 500 Posts Combo Breaker
Not sure if anyone will know the answer to this, but worth asking…

If I created a revenue-generating asset (say an iphone app) that earned a grand a month or so. Could I, legally, transfer ownership of that asset to my wife, so that tax on the earnings was paid at her rate not mine? I'm a 40% taxpayer and she doesn't work so this would obviously be preferable. I've no idea if it's legal possible though, or how I would go about doing it.

Any ideas?

Cheers

Pete

Comments

  • holly_hobby
    holly_hobby Posts: 5,363 Forumite
    1,000 Posts Combo Breaker
    edited 1 August 2013 at 10:13AM
    She would have to be the trader, or major holder, as only income declared under her name and tax schedule can be applied to her applicable tax status ... please if you don't understand tax and HMRC applications, for goodness sake employ and pay a tax practitioner.

    HTH

    Holly x
  • SeniorSam
    SeniorSam Posts: 1,673 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    Form a Ltd company and both be employees. The employees can then be paid whatever you wish and all expenses can be offset by the company. Use a qualified accountant to help.

    Sam
    I'm a retired IFA who specialised for many years in Inheritance Tax, Wills and Trusts. I cannot offer advice now, but my comments here and on Legal Beagles as Sam101 are just meant to be helpful. Do ask questions from the Members who are here to help.
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