Thank you for your reply.
Just to clarify, my UK civil partner has always lived in the UK property at no rental cost, but I don’t think this circumvents the need for the property to be ATED registration as you say, unless I am missing something.
It is good to know that a transfer of the UK property from my GIB company can be accepted as between civil partners and would be exempt from CGT, since the property was purchased a long time ago such a tax would have been costly. The gain from April 2015 until now would, in any event, have only been negligible.
There is no loan or mortgage on the UK property which fortunately, from what you say, prevents the need for SDLT being applied.
I assume then that my civil partner only needs to instruct a UK solicitor to arrange transfer of the deeds from my Gibraltar Ltd company into his name? In any event, as we are civil partners it makes no difference for security as to ownership.
Such a change would, I assume, mean that my civil partner will need to declare it in some format to his accountant & tax office? If so, is it advisable to declare this as a gift or a regularisation of assets between the civil partners, just unsure of any ramifications?
If the property was to be transferred from the GIB company into both my name and that of my civil partner, does that raise a tax implication or complicate matters in anyway, which I would want to avoid both?
Please advise if I have misunderstood anything you have said.
Sorry, I meant that the transfer of the property was to be held in both names personally in the UK and not to be held within a company in the UK.
However, it seems easier, don’t you think, to just transfer the property from my GIB Ltd to my civil partner in the UK? He already pays taxes in the UK, whereas I, being domiciled in Andorra, do not pay UK tax I earn in Spain and Andorra.
Clearly my partner needs then to inform his accountant and HMRC of the property transfer, but am I really obliged to undertake completing a form for the ATED covering the period from April 2015, as it sounds as though I have to get a valuation done and complete paperwork etal? HMRC don’t know me at all. My civil partner never uses my name and declares all his income in his own name, so there has been no benefit of tax allowances used as a couple.
Clearly your good responses have generated more questions from me, so let me know what additional fee I should pay you?
Thanking you again
Would it be in order to pay a bonus of £30?
Could you please clarify again your last paragraph, below, just that I am unclear from what you say is my partners CGT position should his main residence ever be sold? I thought that I had to transfer only into my partner's name to avoid CGT, but from what you say it seems in order to have in both our names, but unclear of CGT position?
Your partner can inform his accountant (but it would be out of courtesy only) as his then being a part owner in this property which is clearly his main residence would not affect any element of is tax position and if it remains his main residence until sold (at any point in the future) he will not ever incur a capital gain position, Only if he moves out, and any sale or transfer takes place more than 18 months after any move out that takes place would create a capital gain situation. But then all the time he had lived there plus the last 18 months of ownership would form an exemption of his % share of the sale/transfer.
I understand then that providing my civil partner stays in the property for at least 18 months, as this has always been his main residence, then he is not liable for any CGT at anytime on this property?
I was unsure whether to have my name appended to the ownership or not, so owned jointly, when it gets transferred from Gib, as I was unsure of the pros and cons of doing so.
It was just that I thought there could be CGT involved when I gift the property out of the GIB company into my civil partner's name that it could arise if my name was included on the land registry too as personal joint owners, regardless that we are civil partners anyway. I note what you say that no CGT occurs providing the property is not sold within 18 months of transfer, but this will be fine as there is no intention to sell anyway.
I have arranged a valuation of the property and can see that it makes no difference if my name is ***** ***** the land registry.
Thanks for your help.