C
We (my wife and me) are being gifted a 1 acre site by my father to build a house.
If the site is transferred into both our names is my wife liable for CGT? We've been married 4 years. Someone in my bank told me we wouldn't be liable cos we're married 4 years?
Thanks for any advice.....
There is an exemption from CAT for taking a site for the purposes of building your own home on it provided it meets certain conditions as to size and value.
Hi Mark, I know about the CGT reliefs for the disponer avoiding CGT provided S.603A conditions are met? What CAT advantages are there for the recipient? Thanks.
Sounds like gift splitting to me if you are thinking along the lines of father gifting site to child in compliance with S603A and then child gifting part of site to spouse?
Gift splitting is a phrase generally used by a tax professional!!
Isn't the real question here:
Can A take the site from his father, hopefully neither paying any tax and then can A gift half of the property to his wife? With no tax implication?
This is a real old chestnut and one that I don't have the answer to. I know that A can buy the site from his father and only pay half stamp duty and then transfer over to joint names with no problem. But is CAT not different insofar as that transfer would be seen as a transfer of half by the father to the wife?
mf
my advice is no it can't be done, take site from parent but do not transfer into joint names of spouses until 3 years has past from date of initial gift , other wise your spouse is open to gift tax from original grantor, class 3 threshold! if there's a legit way around it than i'm all ears! Mark_Mc if your "professional advisor" advises it! they do so also out of a secondary liability to the Revenue Comm! anti avoidance & evasion can be a fine line!
We use cookies and similar technologies for the following purposes:
Do you accept cookies and these technologies?
We use cookies and similar technologies for the following purposes:
Do you accept cookies and these technologies?