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Where Taxpayers and Advisers Meet

Selling bitcoin - Making use of spouse's CGT allowance

flydigital
Posts:21
Joined:Fri Nov 28, 2014 2:20 pm
Selling bitcoin - Making use of spouse's CGT allowance

Postby flydigital » Wed May 24, 2017 9:22 pm

I have some bitcoin I want to sell. I have used my CGT allowance for the year but my wife has not.
Can I sell and attribute the cash to her allowance or do I have to give her the bitcoin first which she then sells?
It's a hassle dealing with bitcoins so I'm hoping there is a way to allow for it that doesn't require her having to set up her own trading account etc.
Thanks for any help.

maths
Posts:8507
Joined:Wed Aug 06, 2008 3:25 pm

Re: Selling bitcoin - Making use of spouse's CGT allowance

Postby maths » Thu May 25, 2017 2:12 pm

Wife must be the beneficial owner of the bitcoins as she (not you) can then sell them for CGT purposes. She becomes entitled to the net sale proceeds.

One option would be for you to execute a declaration of trust under which you state that you hold the legal title to the bitcoins for your wife.

I'm no expert on the precise legal nature of bitcoins but presume the above is possible assuming also that where necessary any formalities with respect to the transfer are followed (eg re shares, a stock transfer form needs to be completed and the shares then registered in company register).

flydigital
Posts:21
Joined:Fri Nov 28, 2014 2:20 pm

Re: Selling bitcoin - Making use of spouse's CGT allowance

Postby flydigital » Tue May 30, 2017 12:09 pm

thanks for your help.


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