Can I avoid IHT by transferring to my spouse?

Can I avoid IHT by transferring to my spouse?

I hold a 100 per cent shareholding in a ‘family’ UK limited company. The company owns one rental property worth/bought for £560,000. The shares are noted for my son in the UK to inherit. However, I am concerned that the asset value exceeds my individual inheritance (IHT) tax allowance and that £94,000 will have to be paid to HMRC. Am I right in thinking, if I transfer 50 per cent of my shareholding to my husband, then he can utilise his IHT allowance, pass the shares to my son, and not incur a liability to IHT? He does not own any other UK assets. Subsequently, I will pass my 50 per cent shareholding to my son without incurring an IHT liability. I also hold money at a bank in the UK. My son is a UK citizen and resident since birth. He is 47. My husband and I are UK citizens, we are resident and domiciled in Australia since 1990. I am now 72 years old and want to finalise my last will. My husband is 65, has cancer and his life expectancy is limited. J Forest 

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