Sell house in UK to our daughter?

[allgram]

Hi, my wife and I have lived in Spain for over 7 years and pay Spanish tax, we own a house in the UK which our daughter lives in , could we sell our house to our daughter for a very small price ? and if necessary she would buy us a small home if we need to go back.( I'm thinking Brexit here).
Oh this damned Brexit.

allgram.

[costakid]

I think the government will fine you for under selling. Its a tax thing. All properties have a value per square meter and they are hot on people under selling as they think we are all as crooked as the Spanish.

[El Cid]

If it's a house in the UK they have no easy way of assessing its value. That's why, on Form 720 you only declare the purchase price.

However the Spanish taxman would not be happy with you selling it for silly money as you would normally have to pay a hefty CGT bill in Spain. It might be possible for him to insist on a proper valuation.

You should look at the option of giving it to her. As there is no sale, there is no CGT and Spanish gift tax would not apply as she is not tax resident and the property is not in Spain. If you die within 7 years there could be UK IHT to pay on it.

Sid

[Pamela1]

Sid is totally correct...my parents did it about 10 years ago

[allgram]

El Cid once again to my rescue, we could give her the house then as and if necessary she could buy us a home later on , we are comfortable with that .If no one sees a problem with that I will sleep better at nights. Brexit and footy , what an awful week.
Sid thank you.

allgram.

[costakid]

Sorry, I misread your original post, I thought the house that was being under sold was in Spain. Apologies.