In the Family Department at Taylor Walton LLP, we like to stay abreast of all new developments in the law including any changes in the tax rules which might impact our clients beneficially or detrimentally.
Capital Gains Tax being an issue often overlooked by Family Lawyers on settlement and as result the subject of many complaints and claims against such lawyers. It is therefore more important than ever for the Family Lawyer to have an understanding of the impact of Capital Gains Tax in any settlement on divorce/dissolution to ensure clients are advised and signposted to an accountant accordingly.
The current rules in place subject the parties to a strict timeframe in dealing with the transfer of assets between spouses and civil partners to avail of the “no gain/no loss” position. Those rules see the parties having to deal with such transfers within the tax year of their permanent separation, otherwise there may be tax to pay. The new rules will allow couples three years to share assets without having to pay tax.
It is essential when you employ a lawyer to assist you with your divorce that they are a family specialist able to advise on all matters that impact a client.
Olive McCarthy is a family specialist solicitor with over 25 years of experience in Family Law, she is also a Partner, Collaborative Lawyer and Financial Arbitrator.