Transfer between Spouses under the F.H.P.A. 1976

Practitioners should be careful to note that the exemption from stamp duty and registration fees enjoyed on transfers of the Family Home into the joint names of both spouses under the Family Protection Act, 1976, does not extend to Capital Acquisition Tax.

Such a voluntary disposition constitutes a gift inter-vivos for the purpose of the C.A.T. Act, 1976. Accordingly on re-sale or mortgage it is necessary to produce a certificate of Clearance from C.A.T.

In addition, by virtue of the new computation rules contained in the Finance Act 1984, applicable to all gifts taken by the same Donee on or after the 2^nd June 1982 are agreeable for the purpose of assessing the threshold amount. Thus, on such transfers under the F.H.P Act, instructions should be obtained as to all previous gifts or inheritances received by the Donee spouse after the 2^nd June 1982 and advice given accordingly.