Directors Home Trasfer to Company

Hi All,

can a private limited company director transfer his own property to company? If yes, then is there any tax implications? 

Replies (4)
Quick Summary
This discussion addresses whether a private limited company director can transfer their personal property to the company. While possible, it involves capital gains tax implications. An alternative suggested is to establish a rent agreement between the director and the company, allowing the director to continue residing in the property while the company manages it, potentially avoiding unnecessary tax liabilities.

Clear case of transfer of property liable to capital gains

So there is no restriction on transferring director's property to company by paying capital gain tax. Intention is company will take care of the property and expenses associated with the same. Director will continue to stay in the same property. Is there any issue with this type of engagement?

I guess you only need to make a rent agreement between director and company and your objective shall be achieved.

No need to unnecessarily transfer and pay capital gain tax.

Ok. Thank you very much Sir!!

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