Real Estate Transfer Tax

(a) TRANSFERS AT ARM'S LENGTH

Market value                  Transfer              Cumulative 
of real estate                fee rate          fees on upper limit

      C£                           %                      C£               
 Up to - 10.000                    5                     500
10.001 - 20.000                    6                   1.100
20.001 - 35.000                    6,5                 2.075
35.001 - 50.000                    7                   3.125
50.001 - 75.000                    7,5                 5.000
  Over - 75.000                    8

(b) TRANSFERS BY WAY OF GIFT

Transfers of property by way of gift are subject to the following fee rates on the assessed value of the property transferred. Assessed values are very small or negligible compared with the market value.

                                                         Transfer 
                                                         fee rate
                                                             %

From parents to children                                     4
From a family company to a child of a shareholder            4
Between spouses                                              8
Between third degree relatives                               8
From a family company to the spouse of a shareholder
or a third degree relative of a shareholder                  8
To trustees                                  Fixed fee of C£ 5

Note:
A family company means a company the shareholders of which are the 
spouses and/or their children.

This information was correct in June 1997.

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.