Elderly husband bought house 50+ years ago in his own name. He then married and lived with his wife in same house for next 45 years before they both moved into alternative accomodation provided by daughter, but the house was never transferred into joint names.
The house was then rented out and income declared on husbands Tax Return.
House is now being sold and completion is in 2020/21 tax year. There will be a large gain to report, so having two sets of PPR and Annual Allowance to claim would reduce the amount of gain which is taxable.
Does the fact that the wife was never registerd as co-owner mean that the gain will be assessable solely on the husband or will the fact that they lived in the property as their principal residence and as husband and wife enable them to claim that the gain should be assessable equally between them?
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If the property is in the husbands name any gain will be borne by him alone. The PPR claim will take all the gain occuring up to the point it was let out of the taxable amount, whether or not it is assessable on one or both of them. There is also letting relief to consider.
You may be able to split the gain between them if the Husband gives half of the property to his wife before it is sold, however this will need to be properly recorded, including at the land registry.
If exchange was is in 20/21 no letting relief and remember you have to declare within 30 days now.
I think you will find that is "Lettings Relief" which I acknowledge is not available from 06/04/20 unless the accommodation was shared with the tenant.
PPR relief is, I think, still available for the last months of ownership as well as the time that it was occupied as the main residence ?
Well, it's a moot point now but here's a bit of research I did.
https://www.bdo.co.uk/en-gb/insights/tax/private-client/changes-to-capit...
No, you are thinking of the last 9 moths of ownership being covered by PPR relief (previously 18 months).
Letting relief is gone in most cases for disposals after 6th April, with only the rare exception where the house was let whilst at the same time being occupied by the owner.
I don’t see how it would help making it her PPR since that period is already exempt by virtue of him owning it during that period.