SARS has introduced tax relief for home owners who own their primary residence through a trust, CC or company.
Home owners can now transfer property owned through a trust, CC or company, free of Transfer Duty, Secondary Tax on companies or Capital Gains Tax, into their own names – provided they have financed the acquisition of the property owned by the trust, and in the case of a member of the CC or company, they are a shareholder or member of such CC or company.
In the event of a property owned by a company or CC, the property may also be transferred to a spouse of such member or shareholder – even if such person was married to such spouse out of community of property.
This relief is not available to farmers as the property must be less than 2 hectares in extent.
Home owners have until 31 December 2011 to register transfer in terms of these provisions.
You are welcome to contact our office for more details and assistance.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
