General question on selling assets

[MPwannadecentincome]

I need to dispose of assets (shares, whole of life policy, etc) quickly to get some cash. It is advantageous to do so in my wife's name as she is not a tax payer. Do I have to transfer the assets to her name prior to disposal?

TIA.

[SallyPlanIT]

I need to dispose of assets (shares, whole of life policy, etc) quickly to get some cash. It is advantageous to do so in my wife's name as she is not a tax payer. Do I have to transfer the assets to her name prior to disposal?

TIA.

I think you need to ask your financial advisor this question. They will know the value to sell and the legalities of transferring or selling shares to your wife. If you sold them in your name and made a profit you would be liable to pay capital gains tax. You are allowed £10,100 as an individual in any one tax year free of tax. After this threshold you pay 18% on gains up to £37,400 and 28% from £37,401.
"Transfers between spouses are generally not chargeable" - see this link

To answer the question, capital gains tax and allowances have nothing to do with personal taxation, so it would make no difference if you or your wife sold them from a tax perspective.

[ASB]

To answer the question, capital gains tax and allowances have nothing to do with personal taxation, so it would make no difference if you or your wife sold them from a tax perspective.

They have everything to do with personal taxation. IF there is a potential gain of > 10,100 then adequate shares (or whatever the asset is) should be transferred to a spouse or civil partner (any other sort is not good enough) in order to enable usage of their allowance as well.

[SallyPlanIT]

They have everything to do with personal taxation. IF there is a potential gain of > 10,100 then adequate shares (or whatever the asset is) should be transferred to a spouse or civil partner (any other sort is not good enough) in order to enable usage of their allowance as well.

Sorry, I haven't made myself clear. Yes it is personal taxation, but the rate of tax and the threshold at when it kicks in is nothing to do with the personal tax free allowance and income tax rate for income under PAYE as it is a capital gain, so regardless of the husband or wife selling the asset, so long as there are no other capital gains the tax would remain the same amount for either person.

[MPwannadecentincome]

I think the cost of getting advice if more than the tax I might have to pay, my question is simple I can sell the assets as if my wife was selling them but does this have to be proven by registering the transfer first?

Somehow I suspect the answer is yes!

[THEPUMA]

I think the cost of getting advice if more than the tax I might have to pay, my question is simple I can sell the assets as if my wife was selling them but does this have to be proven by registering the transfer first?

Somehow I suspect the answer is yes!

A transfer between yourself and your wife would be at no gain no loss so essentially she will inherit them at your base cost for CGT purposes.

You could draw up a deed of trust which is a relatively straightforward document transferring the beneficial interest to your wife. The deed of trust need not be submitted to anyone. This will then mean that it is unnecessary to formally document the transfer with the relevant authorities.

Now the wishy washy bit. The transfer will be ineffective if it is in anticipation of a disposal. So you couldn't do it too close to the ultimate disposal. But don't adk me to define "too close"!

Puma