What are the tax benefits to being married?
For income tax purposes, income from jointly owned assets is split 50:50. Alternatively, you can make an election to apportion it based on the actual capital contribution.
For capital gains tax purposes, transfer of assets between spouses take place at nil gain/nil loss allowing a couple to utilise both their annual exemptions and unused basic rate bands.
For inheritance tax purposes, transfer of wealth during the lifetime and on death is covered by the spousal exemption. However if the transfer is to a non UK domiciled spouse, the spousal exemption is restricted to just £325,000 . It is possible to access the unlimited spousal exemption by the non-UK domiciled spouse making an election to be treated as UK domiciled.
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