I own a property (BTL) bought a couple of years ago, and its value has increased by approaching £10,000. If I gift it to my partner (we are not married) then as I understand it no SDLT is due (providing it's a gift and there isn't a transfer of mortgage liability over £40K). If it's my only disposal within the year and the gain is below £11,700 neither is there any CGT due, so the only cost is the Land Registry fees.
Once it's increased by another £10,000 or so, my partner can gift it back to me, again no tax implications.
So now I own it again having extinguished a potential CGT liability of around £20,000 at the cost of a few hundred pounds Land Registry fees.
I can't see this can be right, its too simple and obvious. Where is my logic going wrong?
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