Coming Soon…Buy or Sell a Costa Rican Business on EstateRealty.com
Estate Realty will soon offer business brokering services. We have come across numerous clients that want to buy an existing business, rather than trudge through all of the necessary steps to start a new business and absorb all of the headaches that surface. Stay tuned!
Posted by tim |
May 3rd, 2007 | #
I’ve heard that it is best to buy an existing corporation which contains real estate. Wo the laws in C.R. require you to own property in a corporation? There obviously would be a transfer tax in a corporate transfer. Help me understand this.
June 17th, 2007 | #
Hi Windharp. There is no law that says a corporation has to own your real estate. You may certainly buy a piece of property and put it under your own name.
However, there are a few advantages to putting your property under a corporation, which have made that the most popular option for owning land. What is normally done is that a corporation owns a property and the owner of the land (such as yourself) gets assigned the shares of the corporation when you buy the property. This does a couple things…
When a sale of the property is made, rather than actually being a transfer of ownership of the property at ’said’ value and creating a sales tax situation, the shares of the company are simply transferred, and thus, the tax liability is ONLY for the stated value of the shares of the corp.
I hope that this very short little explaination answers your question.
June 29th, 2007 | #