Phil support

Registered with Property118.com
Friday 8th April 2016


Latest Comments

Total Number of Property118 Comments: 3

Phil support

19:41 PM, 16th April 2016, About 6 years ago

Wife dying and CGT issue with a remortgage?

Reply to the comment left by "Puzzler " at "16/04/2016 - 18:53":

Hi Puzzler,
Both houses are currently rented out BTL. Some figures:
House A: Was dilapidated and needed work. bought for 70k, had a 25k grant, plus 35k from us (as a re-mortgage), House now worth about 80k.

House B: bought for 195k, value now 235k
Both houses have a morgage left of 90k each. So capital gain on these figures is about 150k. The estate is worth 80k+325k=405k . . . . so thats shared between us (202.5k each).

I wanted to re-mortgage the 325k property to get the euiqty gain out, but I would have to do it in my name only (wife may have a bad credit file), so the question is: if I did re-mortgage the title deeds would then be in my name and therefore HMRC would know or assume wife 'sold' or 'relinquished her share', or whatever and would this then become taxable from her point of view (or mine) for IHT or CGT. I would then give her some of the equity I released to use for herself and some of the rest of the equity (up to her half share) I would pass on to grand kinds after she passes or even before that.... Read More

Phil support

17:39 PM, 15th April 2016, About 6 years ago

Wife dying and CGT issue with a remortgage?

Reply to the comment left by "Puzzler " at "15/04/2016 - 15:36":

Thanks for your kind words Puzzler,

We still meet up a few times a year, so its not like we dont see each other any more.

Her estate would basically be only the 2 houeses, one of which is Minus 10k equity and the other is worth 325k and bought for 198k, so thats 117k positive equity combined.
I wanted to remortgage in my name only, but not sure of the consequences as far as IHT or CGT for either of us. the current morgage is 90k left, so would get a remortgage of 75% (243k).

We are joint tenants and both names are on the current nmortgages. Ther is no will at the moment, but I think not needed as Joint tenants?

When I applied for a loan 6 months ago, they asked for SA302 info, and since I am self employed and my expenses were high, there is only a small profit - like a few thousand, so I didnt pursue that loan as I am sure it would have been turned down.... Read More

Phil support

15:25 PM, 15th April 2016, About 6 years ago

Wife dying and CGT issue with a remortgage?

Thanks for your input and response Jon.
What I am finding difficult is, do I need advice from an accountant or a tax solicitor, becasue the problem really encompasses both parties and neither party would neccesarlily be expert enough to answer the question, or my problem, fully. My next step, as you recommend is to talk to a legal tax advisor, not an accountant tax advisor!! You see, it looks like they both can be called the same name.... Read More