I have a client whose property was her main residence from purchase on 12./8/89 at £85,638 until marriage in December 1992, since when it has been let. She is unlikely to be able to exchange before 5/4/08. How does she protect both indexation and PPR exemption and lettings relief ?
As far as I can tell, transferring to her husband now would protect indexation of .398 ie £34,083, but surely he would not then be able to claim PPR and lettings reliefs, which is of course extremely valuable, and more than indexation . Also would SDLT be payable on the transfer anyway ?
Current estimated net proceeds of sale would be around £292,950.