Site Transfer- Stamp Duty

[kamakaze J]

Hi,
Just wondering what the current tax situation is with transferring a site from a parent to a child for building their PPR.

The site would be less than one acre and worth well under €500k so I take it CGT or CAT isn't an issue but just wondering what stamp duty would be payable.

The child (transferee) isn't an active farmer so am I correct in saying that stamp duty payable is currently 2% of the site value?

If so would it be advisable to get the site valued and transferred prior to planning for a dwelling being granted or will an auctioneer take into account that a planning application is pending and use a value assuming that planning will be granted.

Thanks,
J

 

[Ihana]

In similar situation here. I think its important to manage value of site and complete site transfer BEFORE planning process.

 

[kamakaze J]

There was the risk that planning wouldn't be granted on that site so I didn't want to transfer beforehand in case I'd have to move sites but my planning is now gone for further information so the chances it will be granted are now fairly high.

Assuming an auctioneer will value it at its agricultural value (say approx 10k) now rather than it's potential sell on value once planning is granted (say approx 80k) I'd go ahead and transfer now alright as the savings would be considerable enough assuming the 2% is the correct rate.