Ownership Changes

Overview

Property ownership doesn't always stay the same.

You may sell a property entirely, transfer ownership to another individual, add a joint owner, or change ownership percentages over time.

PaTMa's Ownership Changes feature allows you to record these changes from a specific effective date while preserving a complete ownership history.

This is particularly important for:

• Property sales
• Adding or removing joint owners
• Changing ownership percentages
• Accurate tax reporting
• Making Tax Digital (MTD) compliance

By recording ownership changes properly, PaTMa ensures that income, expenses and tax calculations are assigned to the correct owners based on the dates they actually owned the property.

Why Ownership History Matters

Ownership changes can significantly affect tax and financial reporting.

For example:

• A property may be owned 100% by one landlord initially
• Later, ownership may change to 50/50 between two individuals
• Or the property may be sold completely

Without ownership history, historic financial reporting can become inaccurate.

PaTMa solves this by keeping a full record of:

• Who owned the property
• What percentage they owned
• When ownership changed

This is especially useful for Making Tax Digital (MTD) submissions, as financial data after the ownership change will only be applied to the relevant owner's tax records.

Accessing Ownership Changes

To view or update property ownership, open the relevant property.

Navigate to:

1. Your Portfolio
2. Select the property
3. Open the Ownership tab

This is where ownership records are managed.

Recording an Ownership Change

To record a change, select:

Add Sale / Change of Owners

You will then be asked to enter the effective date of the ownership change.

Step 1: Enter Date of Change

Enter the date from which the new ownership arrangement applies.

This date is important because PaTMa uses it to determine which financial records belong to which owner.

For example:

• Income before this date remains assigned to previous owners
• Income after this date is assigned to the new owners

Step 2: Edit Current Owners

Next, select Edit Current Owners.

Here you can:

• Remove previous owners
• Add new owners
• Adjust ownership percentages

For each owner, specify their ownership share.

For example:

• Owner A – 50%
• Owner B – 50%

Or:

• Owner A – 100%

If the new owner does not already exist in PaTMa, select Add to create them without leaving the workflow.

Saving Ownership Changes

Once the new ownership structure is correct, select Save.

PaTMa will apply the ownership change from the effective date you entered.

This means:

• Historic records remain unchanged
• New financial records follow the updated ownership
• Tax calculations remain accurate

This is especially valuable for portfolios with multiple landlords or changing ownership structures.

Viewing Ownership History

PaTMa stores all historic ownership records.

To view previous ownership arrangements, select:

View Ownership History

This allows you to review:

• Previous owners
• Ownership percentages
• Effective date ranges

This creates a clear audit trail of ownership over time.

Example: Adding a Joint Owner

Imagine a property is initially owned entirely by Sarah.

Ownership starts as:

• Sarah — 100%

Later, Sarah transfers 50% ownership to James.

From the change date onward, ownership becomes:

• Sarah — 50%
• James — 50%

PaTMa will automatically ensure:

• Financial records before the change remain assigned to Sarah
• Financial records after the change are split between Sarah and James
• MTD and tax reporting reflect the correct ownership periods

A Quick Tip

When recording ownership changes, always use the actual legal effective date of the transfer or sale.

Using the correct date ensures historic reporting, tax records and MTD submissions remain accurate.

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