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transfer of co-ownership shares to the wife

March 24, 2021 | 30,00 EUR | answered by Steuerberater Knut Christiansen

Hello,
I need advice on transferring my ownership shares of the apartment to my (still) wife after separation in exchange for a payment of €350,000, total value approximately €700,000. We are both listed in the land registry, there is still a remaining debt on the loan (approximately €6,000), we have been living separately for 5 years, meaning I have not been using the apartment for 5 years. The apartment was purchased in 2003 and has been owner-occupied since then. We have agreed to waive spousal support in the prenuptial agreement. How can we proceed with this transfer? Is it considered a private sale, are there taxes involved, or is it a gift, etc.

Steuerberater Knut Christiansen

Good day and thank you for using frag-einen.com!

I would be happy to answer your question as part of an initial consultation.

Since you acquired the apartment in 2003, selling your half share to your ex-wife would be tax-free. The 10-year disposal period according to § 23 EStG has been exceeded since 2013. If your ex-wife pays you 350,000 EUR for your half share, you can receive this amount tax-free. A gift would only occur if you were to transfer your share obviously cheaply, i.e. below value. However, since this is not the case here, there is no gift involved.

I hope this answers your question, otherwise feel free to ask further questions at no cost.

Please note that this forum cannot replace a comprehensive and personal tax consultation, but is primarily intended to provide an initial tax assessment. Adding or omitting relevant information could result in a different legal assessment of your situation.

Best regards,

Knut Christiansen
Tax Advisor