Mark McLaughlin looks at inheritance tax issues of ‘putting someone on the deeds’ of an individual’s home.
The expression ‘putting someone on the property deeds’ is commonly used to describe changing the legal ownership of a property, such as an individual’s home.
‘Putting someone on the property deeds’ often involves giving the dwelling, or an interest in it, to a spouse (or civil partner) or close family member. There could be several reasons for doing so from a tax perspective. This article focuses on inheritance tax (IHT) issues.
Who owns what?
For IHT purposes, a person’s estate comprises all the property to which they are beneficially entitled. English law recognises that property may be owned either legally or beneficially (nb different rules apply in Scotland). An individual may be