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Land transfer - can we do it ourselves?

3 replies

ChaChaChaCh4nges · 28/01/2018 11:20

I live on a small development of four houses. Each house is freehold.

There are some areas of common land - a car park with parking for three cars per house, a communal bin shed, and a separate shed with individual storage space (one for each house). There is also a fence around the common land for which I presume we are responsible. The common land is currently co-owned by each of the four homeowners as individuals.

We (the four homeowners) have incorporated a limited company to manage the common land. We each own 25% of the share capital. The company has a bank account, and we each pay a relatively small amount into the account each month to meet common costs such as repainting the shed doors and fences.

We'd now like to transfer the ownership of the common land into our management company. Is this something we can realistically do ourselves, or do we need to appoint a solicitor? If we can do it ourselves, please would someone be so kind as to explain what we need to do?

Separately, is there any tax issue with individuals transferring land into the management company for a nominal amount? I was wondering whether this would be a disposal for capital gains tax purposes (assuming that the common land has a value - it probably does because of the car parking, but I would be amazed if it was more than the capital gains annual allowance - although of course I don't know details of whether any of the other homeowners might need their annual allowance to cover over gains). Even if it were a disposal, the value of our shares in the management company would increase by the same amount, so it's not as if any one of us is making a real gain. Any views would be appreciated.

Thank you in advance.

OP posts:
ChaChaChaCh4nges · 29/01/2018 20:40

Bump

OP posts:
worridmum · 30/01/2018 10:21

You can but i would recommend a solicitor to do it as its actually quite complex and if a mistake is made could potentially became far more expensive then if you went down the professional route first.

ChaChaChaCh4nges · 03/02/2018 06:10

Thank you.

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