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A query was raised regarding whether a deed declaring a primary residence and establishing the community and separate property shares of a property is subject to taxation. The DGT determined that there is no onerous transfer and that the document lacks the economic content required to trigger AJD.
This ruling clarifies that documents merely defining the ownership structure of a property between spouses do not constitute a taxable event for Transfer Tax (IPT) or Stamp Duty (AJD), provided no actual transfer of value occurs.
The tax team reviews your specific situation.
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