Sell SPV or just the Freehold Property in it?Make Text Bigger
Can anyone put me straight as to which is most tax efficient. To either sell my SPV or sell its one property?
The SPV (Special Purpose Vehicle) Limited company has one freehold property(150K), one bank loan(100K) and one sole directors loan(me with 90K!) for 280k.
A) As the property is still owned by the SPV I believe there is no Land registry change and hence no Stamp Duty and no nasty extra 3% – Am I dreaming?.
B) The 80k profit from the sale of the SPV will be fully taxable in the same tax year.
C) Is it also right that I will pay 0.5% Capital gains tax – but can anyone tell me if its on the 80k profit or the 280k that it sellls for as i started it with £100 of shares?
D) What tax saving has the buyer gained?
Or Option 2 …
E) Sell the property on its own (I still expect to get, close to, 280k)
F) Buyer pays all Stamp duty
G) All profit goes into the SPV and pays me out over multiple tax years?
Can anyone see a reason why I should not be selling the whole SPV?
Can anyone see why its better to sell it as the freehold property?
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