Tax Data

Help & Advice


For tax purposes, it is the date of separation which is important. You are treated as together unless you are:

• Separated under an order of a court or competent jurisdiction

• Separated by deed of separation, or

• Separated in circumstances in which the separation is likely to be permanent.

For capital gains tax (CGT) the tax-free exemption for transfers between spouses remains for the year of separation. Nil gain/nil loss treatment will cease to apply in the year following separation. Transfers between husband and wife after the year of separation are made at market value.

A married couple can only have one exemption for their “principle private residence”. From the date of separation, they have one each and may need to make an election to show which property is their main residence.

Any maintenance payments made under the divorce settlement are free from tax in the hands of the recipient. No tax relief is available for the payor.

Stamp duty/stamp duty land tax is not normally charged on the transfer of assets between spouses or on divorce.