SDLT for Gifted Property to Ltd Company

Does a transfer from an uncle count as a connected person?

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My uncle is gifting me a property without a mortgage. I am debating whether to transfer this to myself personally or to a Limited Company that I own. From my research I understand that my uncle is liable for CGT in either scenario. However, would SDLT only apply if the transfer were to a Ltd company? The market value of the property is above the stamp duty threshold and I do have a residential property of my own already. 

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By Ruddles
23rd Feb 2024 18:58

What does your company’s tax adviser say?

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By David Ex
23rd Feb 2024 22:15

Ruddles wrote:

What does your company’s tax adviser say?

Or maybe the OP’s uncle could gift some paid for tax advice?

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By paul.benny
24th Feb 2024 08:51

One of the things your adviser will be able to consider is whether it makes any sense to hold the property in a company. Saving a bit of money in tax now may give you a much bigger tax charge in the future.

Depending on age, health and other circumstances of your uncle, it might also be worth him taking advice on his own (potential) tax position as a result of this generous gift.

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RLI
By lionofludesch
24th Feb 2024 13:00

Your uncle's tax position may not be as clear cut as your research indicates and he too may need some advice.

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