Do I pay Capital Gains Tax when selling a house during a divorce?

In many cases, you won’t pay Capital Gains Tax (CGT) if you’re selling your main home, as it is usually covered by Private Residence Relief. However, if the property is no longer your main residence, is a second home, or the transfer takes place after certain time limits following separation, Capital Gains Tax may apply.

Recent changes to UK tax rules have made it easier for separating couples by extending the period during which transfers between spouses or civil partners can be made without triggering an immediate Capital Gains Tax liability.

As every situation is different, it’s always worth seeking advice from a qualified tax adviser or solicitor before selling.