Gift property to spouse, CGT query.

[helvetica]

Hi, if you are the sole owner of a property, and you gift the property to your spouse, can they sell it free of capital gains tax? Is there a time limit / minimum time that needs to pass before the sale?

 

[Bank Manager]

My understanding is that you may gift it to your spouse and it wont trigger a CGT or CAT charge - however if/when your spouse sells the property she will be deemed to have acquired the property at the same date and cost that you did - therefore if there's a gain over the original purchase price (after indexing if applicable) then she will be liable to CGT as per normal rules at that stage...

 

[ClubMan]

Transferring assets between spouses or civil partners

This page outlines transferring assets between spouses or civil partners

www.revenue.ie

 

[ClubMan]

Hi, if you are the sole owner of a property, and you gift the property to your spouse, can they sell it free of capital gains tax?

No. The transfer from one spouse to another doesn't trigger any CGT event. But the receiving spouse "inherits" the original acquisition cost of the property and when they sell it CGT will be assessable with reference to that acquisition cost and the selling price.

Is there a time limit / minimum time that needs to pass before the sale?

No.

Edit: sorry - think I basically just restated what @Bank Manager already said...