I wish to transfer some land in Liverpool owned in my personal name into that of a limited company. Would I have to pay capital gains tax (CGT) (if any is due) and stamp duty land tax (SDLT)? It’s in my sole name and I am the sole shareholder of the limited company. Are there any legislation or tax rules that I need to be aware of? 

Arthur replies: 

(a) CGT and the connected party market value rule - Because you control the company, you and the company are connected. A transfer is treated as a disposal by you at market value, even if you gift it or take only shares (or a director’s loan) in return. Any gain is computed using that market value.  

(b) SDLT and the connected company market value rule - For a transfer to a company you control, SDLT is charged on at least the property’s market value, even if you receive no cash and only take shares or loan notes (FA 2003, s 53).