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19 November 2019

Issue: 4721 / Categories: Forum & Feedback

Holdover relief on share transfer under court order.

I act on behalf of a client who is getting divorced and as part of the proceedings may have to transfer shares in his unquoted trading company to his spouse.

The capital gains tax exemption for transfers between spouses will not apply because they have been separated for a while. However I always thought that if the transfer was under a court order then holdover relief under TCGA 1992 s 165 could be claimed. This seemed to be the prevailing view and appeared to be accepted by HMRC’s Capital Gains Manual at CG67192 (now archived). This was based on the case of G v G [2002] EWHC 1339 (Fam).

However when I happened to recheck HMRC’s manual recently I found that it has been rewritten which gave me an unpleasant surprise. The manual at CG66886 now seems to say that HMRC...

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Readers’ forum: Now you see it...

© Copyright LexisNexis 2024. All rights reserved.

19 November 2019

Holdover relief on share transfer under court order.

I act on behalf of a client who is getting divorced and as part of the proceedings may have to transfer shares in his unquoted trading company to his spouse.

The capital gains tax exemption for transfers between spouses will not apply because they have been separated for a while. However I always thought that if the transfer was under a court order then holdover relief under TCGA 1992 s 165 could be claimed. This seemed to be the prevailing view and appeared to be accepted by HMRC’s Capital Gains Manual at CG67192 (now archived). This was based on the case of G v G [2002] EWHC 1339 (Fam).

However when I happened to recheck HMRC’s manual recently I found that it has been rewritten which gave me an unpleasant surprise. The manual at CG66886 now seems to say that HMRC...

If you or your firm subscribes to Taxation.co.uk, please click the login box below:

If you are not a subscriber but are a registered user or have a free trial, please enter your details in the following boxes:

Subscribe Now...

Alternatively, you can register free of charge to read a limited amount of subscriber content per month.

Once you have registered, you will receive an email directing you back to read this item in full.

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4721

Categories: Forum & Feedback [1]

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