Selling/transfering investment to family member

[Delta]

we are thinking of selling or transferring an investment property to our son. The property is worth around €400,000 and would like to sell or transfer it on for around €200,000. Does anyone have any advice on how to save stamp duty and or capital gains. Would appreciate any help on the matter
Delta

 

[woods]

we are thinking of selling or transferring an investment property to our son. The property is worth around €400,000 and would like to sell or transfer it on for around €200,000. Does anyone have any advice on how to save stamp duty and or capital gains. Would appreciate any help on the matter
Delta

The 200K difference will be considered a gift but will be under the limit so he will not have to pay gift tax.
The stamp duty will be calculated on the full value (400K) regardless of what he pays you, but stamp duty between parent and son is at 50%
If you are both over 55 you may be able to get out of the CGT so you need to talk to an accountant about that.

 

[asdfg]

The stamp duty will be calculated on the full value (400K) regardless of what he pays you, but stamp duty between parent and son is at 50%

That's some stamp duty rate. I think you mean 50% of the stamp duty rate

If you are both over 55 you may be able to get out of the CGT

I think this came up before on AAM. I don't think there is any relief available for over 55's but stand corrected.

 

[irishpancake]

I think what woods meant was this:

Consanguinity relief - applies to transfers of land, buildings etc. to certain relatives, e.g. parent, grandparent, step-parent, child, brother, sister, half-brother/sister, aunt, uncle, niece, nephew. Half the normal rate of duty applies. This relief does not apply to leases.

from [broken link removed] under "Other Exemptions and reliefs"

 

[woods]

I think this came up before on AAM. I don't think there is any relief available for over 55's but stand corrected.

I am not too sure on this but I think that it depends on the proportion of your income that this property was responsible for. I am not holding up much hope but if there is even the slightest possibility then it should be investigated

 

[Delta]

Just want to say thank you for the information. Difficult to know what is the best thing to do, when kids are starting on the property ladder. Dont think the over 55 bit is a runner, but will check it out.