Hello everyone need some input to establish the CGT base cost of asset received by spouse on divorce.
My client had a property transfered to her from husband who was the sole owner of the buy to let property. The transfer was as per court order dated Nov 12, decree absolute is in Feb 2013, as per land registry transfer of property to her is dated Dec14. It was SDLT exempt transfer treated between one party to marriage and other and was exempt under schedule 3 para 3 of FA 2003.
I have gone through details as per CG22500 and undnerstand that for husband it will be a Market Value transfer, date of dispoal will be Feb 2013 as per HMRC guidance, the market value of the property was £550k in Feb 2013. She is now considering selling this property, I am not sure how husband dealt with this in his Tax Return he has passed away couple of years ago am I ok to use 550k as base cost for my client CGT purposes?
I tried to cover details as applicable if I am missing any thing please ask me , would be looking forward for some input to get some direction as to how to deal with this scenario. Thank you.