The tax position on divorce is often more complex than it first appears, particularly where property, business interests or investment portfolios are involved. The timing of transfers, the basis on which assets are valued, and the way in which the division is structured can all significantly affect the SDLT and CGT consequences for both parties.

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Our approach is to provide clear, well-evidenced advice on the tax implications of asset division, helping solicitors and their clients understand the baseline value of assets available for distribution and ensuring that decisions around transfers and settlements are made with the tax position properly understood.

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This is particularly important where the outcome of a financial settlement depends on an accurate understanding of what each party will actually retain once tax has been accounted for.

Recognised as leaders in their fields Simon and Amanda are regularly instructed by:

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• Family law solicitors requiring specialist SDLT or CGT advice.
• Individuals with substantial property or business interests.
• Couples entering into pre- or post-nuptial agreements.
• Trustees and families seeking to protect wealth across generations.
• Professionals requiring an independent expert report for court proceedings.

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Our work is frequently delivered as part of a wider team alongside family law solicitors, financial advisers and forensic accountants, ensuring that the tax position is properly integrated into the overall approach to the case.

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Where the tax implications of a proposed financial settlement are in dispute, or where the court requires an independent assessment of the SDLT or CGT position, an expert report can provide the clarity needed to support a fair and informed outcome.

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We prepare expert reports for use in court proceedings, addressing the SDLT and CGT implications of proposed asset transfers, the baseline value of assets available for distribution once tax has been accounted for, and the likely tax consequences of different settlement structures.

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Our reports are independent, technically robust and written in a format suitable for use within court proceedings.

Transfers of property between spouses or civil partners in connection with divorce or separation benefit from specific SDLT treatment, but the availability and scope of any relief depends on the precise circumstances, including the timing of the transfer and the nature of the court order or agreement under which it takes place.

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We advise on the SDLT implications of property transfers arising from divorce and separation, including the conditions that must be met for relief to apply, where mortgage debt is assumed as part of a settlement, and the position where property forms part of a wider asset division.

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Getting the SDLT position right at the time of transfer avoids the risk of an unexpected charge arising from what is intended to be a tax-neutral settlement.

Capital Gains Tax can arise on transfers of property and other assets between separating spouses or civil partners. Although the rules were significantly relaxed from April 2023, extending the period during which transfers can qualify for no gain/no loss treatment, careful consideration is still required. The availability of relief depends on the timing of the transfer, the nature of the assets involved and, in some cases, the terms of the divorce agreement or court order.

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We advise on the CGT implications of asset transfers in divorce and separation, including the timing rules that determine whether no gain or no loss treatment applies, the CGT position on the former matrimonial home, and the implications of transferring business interests, investment property or other chargeable assets as part of a settlement.

Understanding the CGT position is a key part of establishing the true baseline value of assets available for distribution.

Prenuptial and postnuptial agreements are increasingly used to provide clarity and protection in relation to assets brought into a marriage or accumulated during it, but the tax implications of how assets are structured and held can have a significant bearing on how effective that protection proves to be.

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We advise individuals and couples on the tax considerations relevant to nuptial agreements, including how the ownership and structuring of property and other assets may affect the position in the event of separation, and how asset protection planning interacts with wider tax and estate planning objectives.

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This advice is often most effective when considered before assets are acquired or a marriage takes place, rather than retrospectively once an agreement is already needed.

Family law solicitors are experts in achieving fair settlements. Our role is to ensure that the tax consequences of those settlements are fully understood before agreements are reached. By working alongside the legal team, we help ensure that decisions are based on the true economic value of the assets involved, reducing the risk of unexpected tax liabilities after the settlement has been concluded.

Whether you are a family solicitor seeking specialist tax input or an individual navigating divorce or separation, we would be pleased to discuss how we can assist.

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The tax implications of divorce, separation and asset protection are not always straightforward, and an inaccurate understanding of the tax position can materially affect the fairness of a financial settlement.

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If you are a solicitor seeking expert input on a case, or an individual going through separation or considering a nuptial agreement, we would be happy to assist.

Our role is to provide clear, robust tax advice in connection with divorce, separation and asset protection, whether that takes the form of an expert report for the court, technical input on a proposed settlement, or planning advice for those entering a nuptial agreement.

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We work closely with family law solicitors, financial advisers and forensic accountants to ensure that the tax position is properly understood and reflected throughout proceedings, so that settlements are reached on the basis of an accurate and defensible financial picture.