How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Sam Your Own Question
Sam, Accountant
Category: Tax
Satisfied Customers: 14195
Experience:  26 HMRC expertise, PAYE, Self Assessment ,Residency, Rental Income, Capital Gains, CIS ask for Sam Tax
Type Your Tax Question Here...
Sam is online now

Sam HMRC Enquiry I have to live in accomodation provided

This answer was rated:

HMRC Enquiry

I have to live in accomodation provided by my employer. We've rented out our family for the last five years. My wife doesn't work could she become the Landlord and receive the rental income? The house is in my name would this make any difference?
Many thanks
Hi Duncan

Thanks for your question, I am Sam and I am one of the UK tax experts here on Just Answer.

I am afraid the answer is no, as the property is in your sole name, then it has to be treated as your income. Is there any chance that the property (or at least a half share) could be put into your wife's name?

Please advise


Customer: replied 3 years ago.


If I put the house in my wife's name won't I have to pay death duty on the house or at very least wouldn't she have to pay capital gains tax on the property?


Hi Duncan

Thanks for your response

There is no death duty and as far as Inheritance tax is concerned (which is maybe what you meant) then anything left to either spouse does not get counted in the Inheritance tax position, its only elements of the estate left to others, and if this is less than £325,000 then there is no Inheritance tax.

There is also no capital gains at transfer as spousal transfers doe not get treated as a taxable disposal.

It will only be when the property is sold that a capital gain will be consideration, and as the transfer would be taking place when this is not your main residence, then reliefs for the private residence relief, for when you lived there and for the period of time that you were in job related accommodation would be lost, and whilst you could transfer the property back, the tax year prior to any future sale, you too would have had that period of time that the property was not in your name, on which capital gains will still arise.

But I afraid that is the only way that rental income could be considered to be your wifes.
Maybe its worth calculating the difference to compare what is more beneficial long term, both with the full transfer and then with a half transfer - and of course as things stand using the savings made with rental income v the capital gain charge position.
But of course without knowing how long you plan to retain the property - and whether you will return to it prior to sale, there are so many variables.



Sam and other Tax Specialists are ready to help you