I have set up a trust and want to include my flat in London as part of it. In order to do so, I need to change the name on the deed from my own name to the name of my trust. Will this change involve any tax charges?
Arthur Weller replies:
If I understand you correctly, you are transferring not only the legal ownership of the flat to the trust, but also the beneficial ownership (i.e. a full transfer). If so, the transfer will be subject to capital gains tax (CGT) and stamp duty land tax (SDLT). However, there may be no CGT or reduced CGT to pay if the flat was your main residence for all or part of your period of ownership, and the SDLT to pay will be based on the amount the trust pays you, so if a gift for no consideration - no SDLT.