Yes, they can sub-let; husband would prefer to be named on the licence agreement with the limited company, so that he declares 100% of rental income for the room on his tax return.
Question is whether this is correct way considering that wife’s name is also on the tenancy agreement?
The broker suggested that I speak to a tax advisor. In the meantime, I have called the HMRC and he mentioned using Form 17. But after a bit of research, form 17 would only work if we have the shares in a joint account and we wanted to split beneficial ownership to ratio other than 50:50.
In my case, all the shares are in my individual brokerage account so if I understood correctly, I do not need to transfer share to my wife’s account nor a joint account, as I could make her the beneficial owner of a portion of the shares by executing a Declaration of Trust, where I, the nominee shareholder, would continue to hold all shares in my individual account, but the agreed portion of shares would be held for the benefit of my wife (beneficial owner)?
If above is correct and after the Declaration of Trust is put into effect, if I would sell the shares for which my wife is the beneficial owner, but do this via my individual brokerage account, should the capital gain/loss be reported via my wife’s tax return as she is the beneficial owner?
Final two questions - as I understood the Declaration of Trust does not need to be sent to HMRC with the tax return? And can this be signed by myself and wife only or would we need to use third party/lawyer?
The broker suggested that I speak to a tax advisor. In the meantime, I have called the HMRC and he mentioned using Form 17. But after a bit of research, form 17 would only work if we have the shares in a joint account and we wanted to split beneficial ownership to ratio other than 50:50.
In my case, all the shares are in my individual brokerage account so if I understood correctly, I do not need to transfer share to my wife’s account nor a joint account, as I could make her the beneficial owner of a portion of the shares by executing a Declaration of Trust, where I, the nominee shareholder, would continue to hold all shares in my individual account, but the agreed portion of shares would be held for the benefit of my wife (beneficial owner)?
If above is correct and after the Declaration of Trust is put into effect, if I would sell the shares for which my wife is the beneficial owner, but do this via my individual brokerage account, should the capital gain/loss be reported via my wife’s tax return as she is the beneficial owner?
Final two questions - as I understood the Declaration of Trust does not need to be sent to HMRC with the tax return? And can this be signed by myself and wife only or would we need to use third party/lawyer?
The broker suggested that I speak to a tax advisor. In the meantime, I have called the HMRC and he mentioned using Form 17. But after a bit of research, form 17 would only work if we have the shares in a joint account and we wanted to split beneficial ownership to ratio other than 50:50.
In my case, all the shares are in my individual brokerage account so if I understood correctly, I do not need to transfer share to my wife’s account nor a joint account, as I could make her the beneficial owner of a portion of the shares by executing a Declaration of Trust, where I, the nominee shareholder, would continue to hold all shares in my individual account, but the agreed portion of shares would be held for the benefit of my wife (beneficial owner).
If above is correct and after the Declaration of Trust is put into effect, if I would sell the shares for which my wife is the beneficial owner, but do this via my individual brokerage account, should the capital gain/loss be reported via my wife’s tax return as she is the beneficial owner?
Final two questions - as I understood the Declaration of Trust does not need to be sent to HMRC with the tax return? And can this be signed by myself and wife only or would we need to use third party/lawyer?
My answers
Yes, they can sub-let; husband would prefer to be named on the licence agreement with the limited company, so that he declares 100% of rental income for the room on his tax return.
Question is whether this is correct way considering that wife’s name is also on the tenancy agreement?
The broker suggested that I speak to a tax advisor. In the meantime, I have called the HMRC and he mentioned using Form 17. But after a bit of research, form 17 would only work if we have the shares in a joint account and we wanted to split beneficial ownership to ratio other than 50:50.
In my case, all the shares are in my individual brokerage account so if I understood correctly, I do not need to transfer share to my wife’s account nor a joint account, as I could make her the beneficial owner of a portion of the shares by executing a Declaration of Trust, where I, the nominee shareholder, would continue to hold all shares in my individual account, but the agreed portion of shares would be held for the benefit of my wife (beneficial owner)?
If above is correct and after the Declaration of Trust is put into effect, if I would sell the shares for which my wife is the beneficial owner, but do this via my individual brokerage account, should the capital gain/loss be reported via my wife’s tax return as she is the beneficial owner?
Final two questions - as I understood the Declaration of Trust does not need to be sent to HMRC with the tax return? And can this be signed by myself and wife only or would we need to use third party/lawyer?
The broker suggested that I speak to a tax advisor. In the meantime, I have called the HMRC and he mentioned using Form 17. But after a bit of research, form 17 would only work if we have the shares in a joint account and we wanted to split beneficial ownership to ratio other than 50:50.
In my case, all the shares are in my individual brokerage account so if I understood correctly, I do not need to transfer share to my wife’s account nor a joint account, as I could make her the beneficial owner of a portion of the shares by executing a Declaration of Trust, where I, the nominee shareholder, would continue to hold all shares in my individual account, but the agreed portion of shares would be held for the benefit of my wife (beneficial owner)?
If above is correct and after the Declaration of Trust is put into effect, if I would sell the shares for which my wife is the beneficial owner, but do this via my individual brokerage account, should the capital gain/loss be reported via my wife’s tax return as she is the beneficial owner?
Final two questions - as I understood the Declaration of Trust does not need to be sent to HMRC with the tax return? And can this be signed by myself and wife only or would we need to use third party/lawyer?
The broker suggested that I speak to a tax advisor. In the meantime, I have called the HMRC and he mentioned using Form 17. But after a bit of research, form 17 would only work if we have the shares in a joint account and we wanted to split beneficial ownership to ratio other than 50:50.
In my case, all the shares are in my individual brokerage account so if I understood correctly, I do not need to transfer share to my wife’s account nor a joint account, as I could make her the beneficial owner of a portion of the shares by executing a Declaration of Trust, where I, the nominee shareholder, would continue to hold all shares in my individual account, but the agreed portion of shares would be held for the benefit of my wife (beneficial owner).
If above is correct and after the Declaration of Trust is put into effect, if I would sell the shares for which my wife is the beneficial owner, but do this via my individual brokerage account, should the capital gain/loss be reported via my wife’s tax return as she is the beneficial owner?
Final two questions - as I understood the Declaration of Trust does not need to be sent to HMRC with the tax return? And can this be signed by myself and wife only or would we need to use third party/lawyer?