How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask bigduckontax Your Own Question
bigduckontax
bigduckontax, Accountant
Category: Tax
Satisfied Customers: 4095
Experience:  FCCA FCMA CGMA ACIS
75394688
Type Your Tax Question Here...
bigduckontax is online now

To my previous question, if I loaned money to

Customer Question

In follow up to my previous question, if I loaned money to both my son and daughter to buy a property so they are both registered owners is it possible in the future to transfer the ownership to either one? What is the tax liability in doing so?
Submitted: 1 year ago.
Category: Tax
Expert:  bigduckontax replied 1 year ago.
No difficulty at all and no tax liability on either sibling assuming that they occupied the property as their sole or main domestic residence when Private Residence Relief (PRR) would apply which relieves Capital Gains Tax at 100%. Beware though, if you gift the moneys to them then any income earned thereon is your income. If Granddad a or Grandma gift then this rule does not apply. Remember you are lending not gifting, a very different kettle of fish. I knew of a case where a Grandmother gave an infant newly born a thousand quid. Careful investment and reclaim of tax over the years grew this sum enough for her to have a deposit on a flat in the London suburbs after uni.