We herein report a fundamental mechanistic investigation into photochemical metal‐nitrenoid generation and inner‐sphere transposition reactivity using organometallic photoprecursors. By designing Cp*Ir(hydroxamate)(Ar) complexes, we induced photo‐initiated ligand activation, allowing us to explore the amidative σ(Ir–aryl) migration reactivity. A combination of experimental mechanistic studies, femtosecond transient absorption spectroscopy, and density functional theory (DFT) calculations revealed that the metal‐to‐ligand charge transfer enables the σ(N–O) cleavage, followed by Ir‐acylnitrenoid generation. The final inner‐sphere σ(Ir–aryl) group migration results in a net amidative group transposition.