Should landlords have the right to refuse DSS tenants?10:43 AM, 20th May 2019
About 4 weeks ago 124
My wife is a basic rate tax payer and solely owns one property (with no mortgage) which she rents out. I also solely own one property (again with no mortgage) which I rent out. Annual rentals are around £6,000 per property. I currently have no other income apart from the rent of £6,000 from my property.
We are considering using a Declaration of Trust to transfer, say, 99% of the beneficial ownership of my wife’s property to me. This would allow me to fully utilise my annual personal tax allowance of £11,500, saving my wife tax at the rate of 20%.
Does this sound like a sensible option and are there any other considerations that we should be aware of? My understanding is that there would be no stamp duty or CGT on the transfer of the beneficial ownership from my wife. Also, I understand that we do not need to inform the land registry.
Would we be allowed to transfer 100% of the beneficial ownership, or would my wife need to retain at least 1%?
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