Which taxes payable on changing ownership of commerical

Chapter73

Good Morning
I own half a share of a commercial property with my sister (not under a limited company)

I was thinking about transferring half of my half into my wifes name as it suits to hold it as joint tenants for a variety of reasons.

Does anyone know the tax implications for this , and for my wife both now and in the future please?

I imagine there may be stamp duty in the way in, but am not sure of any other ramifications ie how cgt would be treated on the way out , as such

Thankyou

Pennywise

Can't advise on stamp duty, but assuming you're legally married, any transfers of assets between husband/wife are exempt from CGT. Your wife would simply acquire your base cost of the share you give to her. She would then be liable to CGT upon sale.

Chapter73

Thanks pennywise.Yes we are married .

00ec25

SDLT would only apply if there was an exchange of "consideration"

she is not going to pay you any cash, so no consideration there

that leaves only the question of any mortgage, I assume none since you have not mentioned having to get lender's approval to transfer to her. Therefore no o/s loan, so again no consideration being "given"

Chapter73

00ec25 wrote: »

SDLT would only apply if there was an exchange of "consideration"

she is not going to pay you any cash, so no consideration there

that leaves only the question of any mortgage, I assume none since you have not mentioned having to get lender's approval to transfer to her. Therefore no o/s loan, so again no consideration being "given"

Hi there. Thanks for the reply. No, luckily no mortgage. So if and when she comes to sell it, if i have shuffled off this mortal coil by then, will any cgt payable be calculated as if she had a. Held it for as long as i have or b. Worked out frothe value at the date of xfer?
Thanks

00ec25

Chapter73 wrote: »

Hi there. Thanks for the reply. No, luckily no mortgage. So if and when she comes to sell it, if i have shuffled off this mortal coil by then, will any cgt payable be calculated as if she had a. Held it for as long as i have or b. Worked out frothe value at the date of xfer?
Thanks

already answered in post #2


- you are legally married, so there are special rules for transfers
- your wife acquires at your original cost
- her CGT is based on the gain from that "acquisition" cost, ie what you originally paid (or what it was valued at when you became owner if you inherited it rather than purchased it)