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Where Taxpayers and Advisers Meet

Declaration of Trust

Peter Prentice
Posts:2
Joined:Tue Oct 12, 2021 4:33 pm
Declaration of Trust

Postby Peter Prentice » Tue Oct 12, 2021 4:37 pm

Does owning a property (not land) by way of a declaration of trust make it ineligible for Principal Private Residence relief?

AGoodman
Posts:1286
Joined:Fri May 16, 2014 3:47 pm

Re: Declaration of Trust

Postby AGoodman » Wed Oct 13, 2021 7:35 pm

I'm not sure what you mean by "not land" - I presume you are talking about a residential property rather than, say, a piece of furniture.

If the trust is a regular bare trust whereby person A (or A+B or A+B+C) are registered owners but hold the land for A, A+B or others then the owner of a share of the property under the declaration can benefit from PPR - they do of course have to qualify in that the property must be their principal private residence.

Generally, tax will look ignore a bare trust such as this and treat the beneficial owners as the owners.

Peter Prentice
Posts:2
Joined:Tue Oct 12, 2021 4:33 pm

Re: Declaration of Trust

Postby Peter Prentice » Thu Oct 14, 2021 5:10 pm

Many thanks for this. Pretty well answers my question I think. Thanks again.

maths
Posts:8284
Joined:Wed Aug 06, 2008 3:25 pm

Re: Declaration of Trust

Postby maths » Thu Oct 14, 2021 9:11 pm

For interest, what did you mean by "...owning a property (not land)...." ?


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