I have a case where husband and wife clients have had 8 properties, jointly owned, all mortgaged and rented out. They are now divorcing, the decree nisi was 30 Mar 2017, though the decree absolute has not been obtained. They have agreed to share the properties, including the matrimonial home, between them. It takes time to change legal ownership of the properties. The CGT situation is complex, but I wonder if anyone has the definitive answers to questions such as the following:
how long or up to when does the spouses no gain no loss rule apply?
in these situations, is the date of disposal of a property for tax same as the date of legal transfer or date of one of the decrees?
will it be beneficial to them to complete the transfers of the properties after decree absolute?
if the transferor spouse is making a gain, does this mean the transferee (receiving the others share) will be making a loss?
Are there any other pitfalls to watch out for?
Thank you for any pointers in this complex area.