Any tax implications buying a house as part ownership?

[froger]

Hello,

I am able to purchase a house in cash using my inheritance and savings my partner has (not married). The split would not be even as I would be putting in 84% my partner would be putting in 16%.

We would be going 50/50 on any household bills, if there is to be any major work to be done on the house, then I would pay 84% and my partner would pay 16% again this should prevent any gains tax.

My question is would there be any tax implications in the future for us if we were to marry. The way I see it, my partner is investing money for a 16% share of a house. Of course this view might be to simple.

Thanks,

 

[Bronte]

You should buy the house outright in your own name. This is very messy, unmarried people who do what you propose invariable end up on here with the mess and what to do. Don't do it.

There is no CGT (capital gains tax) on principal private residences and also none for investments purchased this year. Whether there will be gains in the forseable future is a whole other discussion (which we're not allowed to talk about on here)

 

[froger]

I understand how it could be messy if you had to break the contract etc, due to a break up But I don't see how this is anymore messy to a break up of a marriage with a house in joint names at the end of the day one person has to get their share back out.

My main concern is for any taxes that could arise out of purchasing a house in this manner.

 

[Bronte]

I understand how it could be messy if you had to break the contract etc, due to a break up But I don't see how this is anymore messy to a break up of a marriage with a house in joint names at the end of the day one person has to get their share back out.

.

You are not listening. Have you actually read all the people here on AAM who ended up in a mess because they purchased with someone they were not married to. It is not as easy as simplying getting your share back out. Go to a solicitor for advice, it will be money well spent.