Anthony Rogers
Joined: 5/4/2022
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Transfer from a partnership to a trust
A husband and wife own a VAT opted commercial property and are registered as a partnership. The property is let on a periodic lease. They are considering transferring the property to a family trust as a TOGC with the tenant remaining in place. The husband and wife will be the trustees. As I understand it, there is no mechanism for a trust to register for VAT and as such they are registered by the trustees as a partnership. In this case as the TOGC would be between the H&W partnership to the H&W trust (which is treated as a partnership for VAT) is a separate VAT registration required for the trust or can it continue to use the existing partnership registration?