Is SDLT charged on the transfer of a property out of a company?

[Dan]

Hi everyone, I wonder if any of you wise people could help me with a simple question. My wife and I own a property investment company 50/50, and we wish to transfer one of the properties into our personal names. If we set up a business partnership (also 50/50), and it buys the property from the company at market value, will the transfer be exempt from SDLT under para 10 of FA 2003 Sch 15 part 3? I have looked at HMRCs guidance and am none the wiser..

[Patrick]

Basically, yes it will be exempt but you must ensure that it is a proper partnership and not just an ownership structure ie the partnership exploits the property in a business sense and for example is not just your home.

[Author]

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