Property Transfer

[cross]

I am about to retire to France and would like to pass my UK home to my two adult children.

I see two possible ways of doing this

1) As it is my PPR am I correct in assuming that if I gift it to my children there will be no stamp duty and no other tax, and that a simple TR1 to the Land Registry will suffice.

2) Or would it be preferable to leave my name on the land registry records and create a trust deed indicating that the property is held on trust for my children and that they are the beneficial owners.

I have been informed that in either case my children would be entitled to sell the property as and when they wish as the beneficial owners. I have no problem with this should they decide at any time to do so.

I am aware that with either course of action this would be a PTE until 7 years has elapsed.

[section 44]

From an SDLT perspective it would make no difference whether legal as well as beneficial interest is transferred. Provided that it is a gift (no consideration given), no stamp duty land tax is payable and it is not a notifiable transaction (no SDLT return required).