Have Tax Questions? Ask a Tax Expert for Answers ASAP
Hello Tony, I am Keith, one of the experts on Just Answer, and pleased to be able to help you with your question.
My initial exposure to the workplace in the 60s as a trainee valuation surveyor leads me to a split by floor area as a more equitable distribution.
You have to be careful tax wise this matter. The 93K payment would be subject to Capital Gains Tax (CGT), up to 28% depending on the individuals' income including the gain in the tax year of transfer. Were it paid to the company and distributed then it would be subject to Income Tax (IT) at the individuals' marginal rate of tax. If it pushes one into the 40% tax bracket then there are difficulties.
Quite a bit of time with a wet towel round one's head and the backs of lots of used envelopes will be needed to calculate the best solution agreeable to all the freeholders involved.
I do hope that my reply has been of some assistance.