Land Transfer Tax

[BrassMonkey]

I am the sole Managing Director of a Ltd company where my wife is the major shareholder. We bought land for 3 mill just before the tsunami. If we where to transfer the land into my wifes name, what taxes would be have to pay?

The Ltd company was formed a week or so before we bought the land and has never traded and is currently sleeping.

Many Thanks

[Digger]

I am the sole Managing Director of a Ltd company where my wife is the major shareholder. We bought land for 3 mill just before the tsunami. If we where to transfer the land into my wifes name, what taxes would be have to pay?

The Ltd company was formed a week or so before we bought the land and has never traded and is currently sleeping.

Many Thanks

<{POST_SNAPBACK}>

About 7% land transfer tax based on land office valuations of the land in that area, not what you paid for it nor what you sell it at. Then you have to account for it in your company accounts and pay taxes on whatever profit has been derived. The tax is the highest bit probably but I'd be more concerned at how you will handle the company side of things.

[BrassMonkey]

How would the profit be decided? Based on actual selling price minus purchase price or based on goverment valuation?