deed of trust to put property back in equal shares

slopemaster

I own a property jointly with my OH. (We are married.) 5 years ago we did a deed of trust so that we owned it in unequal shares, and filled in HMRC form 17.

Now, we want to put it back in equal shares.

Can we just do a new deed of trust and send a copy to the Revenue with a covering letter?

I was going to fill in form 17 again, but it specifically says it's for UNequal shares

Thanks for any answers, sorry if silly question!

slopemaster

Or, do we even need a new deed of trust or could I just ring them up and ask them to start taxing us equally again?

As the website says they normally tax you equally regardless of actual ownership

Jeremy535897

A form 17 can only have any effect if the property is owned unequally, so as you will be owning the property equally, the filed form 17 will be null and void from that date, and there is no need for a new one. Rather than write to HMRC, I suggest you explain to HMRC in the notes section for rental income that the property became owned in equal shares from xxx date. You will need to apportion the rent received between you according to the proportions for each part of the year. (I am assuming it is let as otherwise a form 17 had no practical effect.)

slopemaster

thank you, that makes sense.

It is let but we will be selling which is why I wondered if I should notify them

Jeremy535897

If either or both of you make a capital gain on the property and capital gains tax is due, you will have to report and pay the tax within 60 days of completion:
https://www.gov.uk/report-and-pay-your-capital-gains-tax/if-you-sold-a-property-in-the-uk-on-or-after-6-april-2020
You will need to declare the capital gain on the SA108 part of the tax return. You can explain the situation in the white space. 

slopemaster

Thank you, much appreciated