CGT reliefs on residential property

[McCoombester]

I own a flat in London (just in my name) that both myself and my husband occupy. We are moving to Dublin in a few months (and will buy somewhere there that will be our main residence) and will then rent out the flat in London. We are likely to keep the flat for another 5-10 years before selling. I know about taper relief, personal allowance, the 36 month rule and the letting rule (where upto £40,000 of capital gain is exempt due to the property having been my main residence and then let as residential accommodation). My question is in relation to joint reliefs. Am I right in thinking that if I transfer the property into our joint names now, when we come to sell, we have 2 lots of £40,000 relief and 2 personal allowances in relation to any gain? If so, are there any disadvantages to making this transfer now?

[demetris]

yes, you are right in your thinking that uo to 40k lettings exemption is available if property in both names. The same applies to all other reliefs, allowances and exemptions.

I do not personally see from my experience any disadvantages making the transfer now of one half to the wife. But this advice is not researched. You should always take proper qualified advice.

I hope this helps.
Demettris Savva BA FCCA
http://www.tax-accounting-london.info