Malcolm Finney takes a look at the stamp duty land tax reliefs and exemptions available to divorcing couples.
When married couples separate or divorce, perhaps not surprisingly the attendant tax consequences are not usually at the forefront of their minds. Nevertheless, thought should be given to mitigating possible adverse tax consequences which may arise on the separation and divorce.
SDLT vs other taxes
The income tax, capital gains tax and inheritance tax legislation each contain provisions which provide for exemptions/reliefs on transfers from one spouse to the other spouse prior to separation or divorce. The stamp duty land tax (SDLT) legislation, on the other hand, does not provide a general exemption from SDLT on such inter-spouse transfers.
However, for higher rate SDLT
